The Bank of Canada is holding the key interest rate at 5 per cent, but Governor Tiff Macklem admits the conversation is now shifting from further restrictions to how long the current interest rate will stand as inflation eases.
He wouldn’t tell reporters yesterday, however, when an interest rate drop might be expected.
“It’s premature to discuss reducing our policy rate,” says Macklem, and while the discussion is shifting, the Bank of Canada has agreed that they “need to see more progress” before they consider a drop in the interest rate.
