Bank of Canada Increases Rate

The Bank of Canada increased their key lending rate by 0.25 percent to 0.75 percent. Banks therefore are expected to raise their prime rates to 2.75%.

The Bank of Canada has emphasized in this announcement that global recovery is happening, but it is shaky and needs time to take hold. In Canada, domestic demand by consumers is high and jobs are on the rise but business and investment earnings have been slow to recover.

The Bank of Canada is now expecting a slower than projected recovery in Canada than announced in their April Report. Inflation is in line with their targets of 2% but they have extended expectations of a full recovery by two quarters due to current trends and performance.

Leave a Comment

The information provided is for consumers' personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing. The Terms of Use Agreement shall not impose a financial obligation on the Registrant or create any representation agreement between the Registrant and the Participant.

All information provided is deemed reliable but is not guaranteed accurate, and should be independently verified.

Disclaimer: Information herein deemed reliable but not guaranteed by the CREB and EREB.

Last updated on: 2012-02-13 00:18:50

• 

• It has been a truly wonderful experience working with you for the past year or so. You are a very patient man and you have often gone the extra mile just to make sure that we get the maximum satisfaction. You definitely do your homework and the results show in the good deals that we have made over the years for both our personal home and investment properties. You are more than just an agent, you are a good friend to Tony and I.

• Tony & Priscilla Akhigbe