3 September 2013
No signs of a rate hike from the Bank of Canada
It’s been three years already since the Bank of Canada last raised its key lending rate. And it seems there are no signs of a change so far.
The Canadian policymakers had to cope with the overall economic uncertainty that many expected would have change long time ago. Nevertheless, slow and uneven economic growth together with the weak employment numbers and tame inflation has kept the central bank’s interest rate at the lowest level since the 1950s.
It was September 2010 when the Bank of Canada last raised its lending-rate by 0.25% to 1%. At that moment Canada already climbed out of recession and the cheap credit was supposed to support spending and keep the recovery trend…