Bank of Canada Says It Would Have Likely Held Rate Steady If Not for Tariffs

Governor of the Bank of Canada Tiff Macklem, delivers a speech on monetary policy at a Calgary Economic Development event in Calgary, on March 20, 2025. The Canadian Press/Jeff McIntosh

The Bank of Canada’s top decision makers signalled they likely would have hit pause on the interest rate easing cycle earlier this month if not for the substantial uncertainty around tariffs from the United States.

That’s according to the central bank’s summary of deliberations released Wednesday, which offers a look at how governing council arrived at its March 12 decision to cut the policy rate by a quarter-point to 2.75 percent.