Key interest rate unchanged
Posted Mar 2, 2010 7:19 am.
This article is more than 5 years old.
Even though economic conditions are improving, the Bank of Canada is keeping its key policy interest rate at the historic low of 0.25 per cent.
Fred Ketchen with Scotia Capital tells 660News today’s announcement comes as no surprise.
He says the Bank of Canada is upholding its conditional commitment to keep rates at that level until the end of June and doesn’t think the market will react to this in any way.
On Monday, the central bank announced the Canadian economy posted growth of five per cent in the fourth quarter.
The bank is also acknowledging there are a couple of things that are holding back economic growth, namely low demand for Canadian goods in the U.S. and our strong dollar.
