The Bank of Canada fixes interest rates and indicates to raise them in 2022

The Central Bank of Canada kept interest rates today unchanged at 0.25% and indicated that it may start raising interest rates in late 2022, as it sharply strengthened its expectations for the Canadian economy and reduced the scope of the bond-buying program. It also confirmed that it now expects to absorb the economic recession in the second half of The year 2022.

Bank of Canada Governor Teve McCallem told reporters that while the bank is committed to refraining from raising interest rates until the economy is fully operational, there is no guarantee that borrowing costs will rise when these conditions are met. “What we do when these conditions are met will have to be assessed at that time,” he said. There is something mechanical. " “Our macro-level projections really embody the fiscal stimulus that has been announced largely by both provincial and federal governments,” McCleem added. The Canadian economy is expected to grow 6.5% in 2021, up from previous expectations of 4.0%. In January.