The Bank of Canada announced today that it is maintaining its target for the overnight rate at 1.75 per cent.
The Bank projects real GDP will grow by 1.7 per cent in 2019, 0.4 percentage points slower than the October outlook. This revised forecast reflects a temporary slowing in the fourth quarter of 2018 and the first quarter of 2019.
Governing Council continues to judge that the policy interest rate will need to rise over time into a neutral range to achieve the inflation target. The appropriate pace of rate increases will depend on how the outlook evolves, with a particular focus on developments in oil markets, the Canadian housing market, and global trade policy.
The next scheduled date for announcing the overnight rate target is March 6, 2019.
To learn more: Bank of Canada official press release