5 December 2019

The Bank of Canada didn’t start acting, while other countries decided to cut rates. For instance, the U.S. Federal Reserve cut its rate three times during this year.

Nevertheless, in Lane’s opinion, there are no reasons for the central bank to follow the U.S. example.

“Moreover, the experience of the previous 10 years shows that Canada and the United States have been moving in different directions consistent with their economic conditions,” – he added.

Lane says Canada’s resilience has let the BoC keep its initial course.