Drop in Canada’s Unemployment Rate Won’t Convince National Bank to Cut Interest Rate, Experts Say

Statistics Canada's offices at Tunny's Pasture in Ottawa are shown on March 8, 2019. The Canadian Press/Justin Tang

Canada’s unemployment rate dropped to 5.7 percent last month, marking the first decline since December 2022, according to newly released data from Statistics Canada. And that larger-than-expected employment gain will not convince the Bank of Canada to cut interest rates any time soon, economists say.

StatCan’s labour force survey showed 37,000 additional jobs were added to the economy in January after three months of “little change.”