interest rate

The Bank of Canada is holding its key policy interest rate at 2.25 per cent for the fourth consecutive time. The Central Bank projects inflation will peak around three per cent in April, before declining to its two per cent target early next year. That drop in inflation is based off an assumption that U.S. tariffs will remain at the current rate and that oil prices will drop from US$90 in the second quarter of 2026 to US$75 a barrel by mid-2027.