OTTAWA – The Bank of Canada has raised its overnight rate to 3.75 per cent from 3.25 per cent. Since March, the central bank has increased its policy rate six times, aimed at tackling inflation and bringing it back to its 2 per cent target.
The bank predicts Canada could see a potential recession in the first half of 2023, according to its latest Monetary Policy Report.
“GDP growth is then projected to slow to between 0 per cent and 0.5 per cent through the end of 2022 and the first half of 2023,” reads the report. “This suggests that a couple of quarters with growth slightly below zero is just as likely as a couple of quarters with small positive growth.”
From the Star… Bank of Canada hits Canadians with growth-crushing hammer in latest interest rate hike
So let’s get this straight.
The economy has ground to a halt, and Bank of Canada governor Tiff Macklem is raising rates anyway —and quite aggressively.
The central bank released its new projections for the Canadian economy on Wednesday morning, and while it didn’t quite call “recession,” the new numbers for economic activity have been revised down to show basically no growth right now and in the near future.
You will pay and pay and pay for Justin’s policy choices not Justin’s cronies.
