Economists widely expect that the Bank of Canada will hold its trendsetting overnight interest rate at its current level of 4.50% when it concludes it latest policy meeting today (April 12).
The Bank of Canada has previously said that it is pausing interest rate increases while it assesses their impact on the economy but has warned that it will resume raising rates if necessary.
The latest reading showed that inflation in Canada fell to 5.2% in February, coming in lower than had been forecast.
At the same time, the Canadian economy has shown signs of resiliency, continuing to grow with unemployment near record lows.
The Bank of Canada maintains that its goal is to lower Canada’s annualized inflation rate to its 2% target.
At the conclusion of today’s policy meeting, Canada’s central bank is also expected to release updated projections for economic growth and inflation in its quarterly Monetary Policy Report.
