Bank of Canada Holds Rates Steady

General Denise Dunkley 6 Dec

As the BOC had cautiously predicted sluggish growth, at best through the end of this year, and early next, the current Bank of Canada Prime Lending Rate is unchanged and currently holding at 3.00%.

On the upside, inflation targets are coming closer to target levels, but not enough to counterbalance the threats that exist on the other side of the coin. They do expect inflation to continue to moderate, as food and gas prices begin to float down.

Many economists suggest that this latest rate hold is a sign of things to come, with the BOC required to keep borrowing costs low until the Eurozone crisis is more handily contained- which at this point, is not in the immediate future.  The BOC is still adopting their “wait and see” policy on fiscal policy, and have not ruled out further stimulus if the economy requires it.

Schedule for 2012

Interest rate announcement Monetary Policy Report
17 January 18 January
8 March
17 April 18 April
5 June
17 July 18 July
5 September
23 October 24 October
4 December

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