Economy improving but interest rate stays the same
OTTAWA – The Bank of Canada is holding its key interest rate steady as its senior officials insist there are more signs the economy’s abrupt winter deceleration was short-lived.
The central bank, as widely expected, kept its trend-setting rate at 1.75 per cent today and governor Stephen Poloz appears to be in no hurry to make a move, even as he points to economic improvements.
The bank says in a statement that there’s growing evidence the economy has been re-emerging in the second quarter of this year following a slowdown in late 2018 and early 2019.
The statement says indicators show the oil sector is beginning to recover, the national housing market is stabilizing and job growth remains strong.