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Bank of Canada

CAD · Official Website

Latest Statement

⚖️ Neutral

Bank of Canada maintains the policy rate at 2¼% - Bank of Canada

2026-09-02

The Bank of Canada maintained its policy rate at 2.25% in September 2026, citing a broadening economic recovery and inflation hovering around 3%, though elevated by energy prices. The central bank acknowledged increased upside risks to inflation from persistent Middle East conflict and elevated oil prices, as well as growth uncertainties from new US tariffs and trade tensions.

Policy rate held at 2.25% as Canadian economy showed broad-based recovery with Q2 GDP growth of 3.3% and improving labour market conditions (unemployment at 6.4%)
CPI inflation at ~3% driven primarily by gasoline prices, with core inflation near 2%, but upside risks have increased due to ongoing Middle East conflict and potential spillover effects
Financial conditions have tightened globally with rising long-term bond yields; new US tariffs and Canadian counter-measures pose significant risks to economic sustainability and could feed into consumer prices
Governing Council will continue assessing the sustainability of economic rebound and inflation outlook, with heightened uncertainty from geopolitical tensions and trade policy developments

⚡ Rate

↑0 ↓0 →1

📝 Classified Sentences

⚡ Rate Holdmp_interest_rate

"With the economy and inflation evolving broadly as forecast in the July MPR, Governing Council agreed to leave the policy rate unchanged."

Bank Profile

Mandate

Price stability (1-3% CPI, 2% midpoint)

Decision Types

Overnight rate target, Quantitative easing, Forward guidance

Policy Instruments

Target overnight rate, Bank Rate, Settlement balances rate, Bond purchases

Target Indicators

CPI inflation (2%), Core inflation measures (CPI-trim, CPI-median), Output gap

Communication Style

Clear forward guidance, Monetary Policy Report with projections, deliberative approach

Committee

Governing Council - 6 members (Governor, Senior Deputy Governor, 4 Deputy Governors)

Economic Indicators

Policy Rate	2.25%
USD/CAD	1.3909
GDP Growth	1.0%
M2 Growth	8.2%
10Y Yield	3.93%
2y10y Spread	+0.69%

HISTORICAL TRENDS

Policy Rate

FX Rate

CPI

GDP

10Y Yield

2Y-10Y Spread

Stance

Key Commodities

Top traded commodities for Canada

Commodity	Price	1D	30D
WTI Crude Oil	96.24 USD/barrel	+0.1%	+11.5%
Natural Gas (Henry Hub)	3.03 USD/MMBtu	+2.4%	+7.1%

Recent Statements

Bank of Canada maintains the policy rate at 2¼% - Bank of Canada ⚖️ Neutral

2026-07-15

Bank of Canada maintains the policy rate at 2¼% - Bank of Canada ⚖️ Neutral

2026-06-10

⚡ Rate

↑0 ↓0 →1

📝 Classified Sentences

⚡ Rate Holdmp_interest_rate

"Against this overall backdrop, Governing Council decided to maintain the policy rate at 2.25%."

Bank of Canada maintains policy rate at 2¼% - Bank of Canada ⚖️ Neutral

2026-04-29

⚡ Rate

↑0 ↓0 →1

📝 Classified Sentences

⚡ Rate Holdmp_interest_rate

"Against this backdrop and taking into account the current projection, Governing Council decided to maintain the policy rate at 2.25%."

Bank of Canada maintains policy rate at 2¼% - Bank of Canada ⚖️ Neutral

2026-03-18

⚡ Rate

↑0 ↓0 →1

📝 Classified Sentences

⚡ Rate Holdmp_interest_rate

"Against this overall backdrop, Governing Council decided to maintain the policy rate at 2.25%."

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