The Bank of Canada has announced that the key interest rate will stay at 1.75 per cent as widely expected by financial analysts.
The interest rate has been stagnant since October 2018, which positions Canada as an exception among many other developing countries that have already responded to weakening economies. The Governing Council is expecting that the resilience of the Canadian economy will be increasingly tested by persistent global trade conflicts and uncertainty.
Although the benchmark rate has remained the same, Canada's national debt amounts to $18,700.00 for every man, woman and child and is growing by more than 54 million dollars a day. Any future rate increases, (scheduled for December 4th, 2019) could affect the growing pain of making ends meet for every Canadian. However, the domestic economy has held up in many other areas, including the steady employment rate, increased wages and the housing market.
If you have questions or concerns about the overnight interest rate and how this affects you, contact us today.