Bank of Canada Holds Interest Rate Steady at 2.75 Percent, Says US Trade Policy ‘Highly Unpredictable’

Bank of Canada Holds Interest Rate Steady at 2.75 Percent, Says US Trade Policy ‘Highly Unpredictable’
Bank of Canada governor Tiff Macklem participates in a news conference on the bank's interest rate announcement and release of the Monetary Policy Report, in Ottawa on Jan. 29, 2025. The Canadian Press/Justin Tang
Matthew Horwood
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The Bank of Canada is holding its key interest rate at 2.75 percent, warning that uncertainty around U.S. tariffs is diminishing Canada’s economic growth prospects and raising inflation expectations.

“The path for U.S. trade policy remains highly unpredictable. There is also considerable uncertainty about the impacts of a trade war on our economy,” Bank of Canada Governor Tiff Macklem said in his opening remarks on April 16.