Continued inflation growth led the Bank of Canada yesterday to once again raise its key interest rate by another quarter point.
That brings the key lending rate to 5 per cent, something that will continue to squeeze anyone carrying a mortgage or other debt.
The key lending rate is the highest it’s been since April of 2001.
It was hoped that the Bank of Canada’s series of interest rate hikes would slow inflation, but Governor Tiff Macklem says that has not happened.
Inflation is not expected to drop to 2 per cent until mid 2025—six months later than expected.
