Paul Volcker wanted to tame inflation and the Bank of Canada followed suit. The prime rate, which had fallen to 12.25% in July 1980 jumped to 22.75% by August 1981. A five-year fixed rate mortgage ...

However, rates started increasing dramatically starting in March 2022 because the Bank of Canada was trying to keep inflation from rising too quickly and prevent the economy from overheating.

By summer 2024, inflation in Canada returned near the Bank of Canada’s 2% target ... policy interest rate evolves below the path of the US policy interest rate is common (Chart 4). Over the past 30 ...

Below are some key quotes from a news conference by Bank of Canada Governor Tiff Macklem and Senior Deputy Governor Carolyn ...

inflation will be higher,” he said during a press conference in Ottawa. “We are going to be assessing the relative weight of those two.” In a departure from previous Bank of Canada meetings, Macklem ...

The Bank of Canada said Wednesday that it is lowering its key interest rate by 25 basis points (bps) to three per cent.