The Bank of Canada kept its benchmark interest rate steady at the effective lower bound of 0.25 percent on September 9th 2020, as widely expected. The Committee said that it will continue its quantitative easing program with large-scale asset purchases of at least CAD 5 billion per week of government bonds. Policymakers noted that the Canadian economy is recovering amid the easing of coronavirus restrictions and supported by government programs to replace incomes and subsidize wage. The Committee projected that economic activity will bounce back at a faster-than-expected pace in the third quarter of the year. Policymakers said that as the economy moves from reopening to recuperation, it will continue to require extraordinary monetary policy support. The Bank Rate and deposit rate were also left unchanged at 0.5% and 0.25%, respectively.
Interest Rate in Canada averaged 5.86 percent from 1990 until 2020, reaching an all time high of 16 percent in February of 1991 and a record low of 0.25 percent in April of 2009. This page provides - Canada Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Canada Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on October of 2020. source: Bank of Canada
Interest Rate in Canada is expected to be 0.25 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Canada to stand at 0.25 in 12 months time. In the long-term, the Canada Interest Rate is projected to trend around 0.75 percent in 2021 and 1.25 percent in 2022, according to our econometric models.