Bank of Canada Keeps Interest Rate at 4.5 Percent

Wednesday, 8 March 2023 at 12:03

By Linda Morgan

After eight consecutive rate hikes, the Bank of Canada is keeping its key interest rate at 4.5 percent

The Bank of Canada is holding its key interest rate at 4.5 percent.

The announcement comes after eight consecutive rate hikes since last March.

The central bank says it's keeping the rate steady due to its assessment of recent economic data.

However, further rate hikes could occur if inflation continues.

In January, the central bank said it expected to maintain its key interest rate if economic developments stay in line with its forecasts.

The bank also notes the annual inflation rate could fall to about three percent by the middle of the year.

In January, inflation was at 5.9 percent.

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