Canadian Central: Corona virus is a serious test of the economy

Bank of Canada Governor Stephen Poloz said today that the Canadian economy's resilience could be tested seriously by an outbreak of the Corona virus, depending on its severity and duration, a day after cutting key interest rates by half a percentage point.

The bank is ready to cut further if necessary to help counter the impact of the Corona virus on the economy as the economy was heading for another quarter of very slow economic growth that may continue in the second quarter, Buloz said.

Speaking to a Toronto audience of businessmen, Buloz added that the Canadian economy has shown good resilience in the past two years and this flexibility can be tested seriously by addressing the impact of the Corona virus outbreak on economic growth.