Bank of Canada kept the key interest rate at 2.25%
The Bank of Canada left its key interest rate on hold at 2.25 per cent, a move that was widely expected by economists after an encouraging round of economic data.
The central bank had suggested in October that rates could be cut for the time being.
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The Bank of Canada left its key interest rate on hold at 2.25 per cent, a move that was widely expected by economists after an encouraging round of economic data.
The central bank said in a news release that it believes the current rate is at an “appropriate level” to boost the economy while also keeping inflation close to its two percent target rate.
While the steel, aluminium, auto and timber sectors have been hit by US tariffs, which are broadly hitting business investment, “the economy is proving resilient overall,” the bank said in a statement.
Bank of Canada Governor Tiff Macklem is expected to discuss the decision with Senior Deputy Governor Caroline Rogers at 10:30 a.m. ET. That news conference will be telecast live here.
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