 鲜花( 65)  鸡蛋( 0)
|
OTTAWA - The Bank of Canada today announced that it is maintaining its target for the overnight rate at 1 per cent. The Bank Rate is correspondingly 1 1/4 per cent and the deposit rate is 3/4 per cent.
/ u z- B8 P( ^& K: z. M. w. O+ _) A+ J+ f& L1 }: Z" Z
The global economic recovery is proceeding broadly in line with the Bank's projection in its& q# s( k: _$ _! ?
January Monetary Policy Report (MPR), although risks remain elevated. U.S. activity is9 |# ^5 e4 _8 {* D, E' I/ t
solidifying and remains supported by stimulative fiscal and monetary policies. Ongoing# J2 i2 F- {7 Q1 I) R7 n, L. G! h
challenges associated with sovereign and bank balance sheets will limit the pace of the European
$ v6 [4 b0 Q6 Trecovery and are a significant source of uncertainty to the global outlook. Robust demand from
& `6 L, H' ~- [1 @4 r' Q0 Vemerging-market economies is driving the underlying strength in commodity prices, which could, s- r3 N; g. k" ]; ?2 j; X9 u% D
be further reinforced temporarily by supply shocks arising from recent geopolitical events.
! y; V# z5 q2 N6 @
2 G( |' {( Z O6 R: E: V9 WThe recovery in Canada is proceeding slightly faster than expected, and there is more evidence of( w6 h! t$ _# t3 o1 N4 v
the anticipated rebalancing of demand. While consumption growth remains strong, there are4 K, }# C! [: G8 b
signs that household spending is moving more in line with the growth in household incomes.. L3 H9 D0 A( s b8 |: a
Business investment continues to expand rapidly as companies take advantage of stimulative2 D( R3 z r. Z. S4 j6 [
financial conditions and respond to competitive imperatives. There is early evidence of a
4 P! t; j% [* {0 K3 j" O' z5 [) D3 a; Grecovery in net exports, supported by stronger U.S. activity and global demand for commodities.
; }" t+ f( [( }# B1 ]However, the export sector continues to face considerable challenges from the cumulative effects! e! z" T6 E" p! T) M
of the persistent strength in the Canadian dollar and Canada's poor relative productivity
' y H4 ?7 V+ D) `! \* J2 Yperformance.
! q' M4 X) U: o+ R: e- |+ |
c9 i1 s1 m- @$ t3 H% \While global inflationary pressures are rising, inflation in Canada has been consistent with the3 X7 r" x$ F z* R* M& l1 Y
Bank's expectations. Underlying pressures affecting prices remain subdued, reflecting the
. V7 @! n: F/ j# e& i( lconsiderable slack in the economy.
& X, e; t" ]; V' U: A* Y& C0 R* A! o. |( O
Reflecting all of these factors, the Bank has decided to maintain the target for the overnight rate. C. F% U/ w R3 F6 X" f3 R
at 1 per cent. This leaves considerable monetary stimulus in place, consistent with achieving the
, P7 w% r( l9 w5 T6 n2 |. E6 m( c2 per cent inflation target in an environment of significant excess supply in Canada. Any further7 V3 \# k$ g; {9 p( j- E" _: F2 h
reduction in monetary policy stimulus would need to be carefully considered.: t$ d& u5 n9 O: O
Information note:
& ? ~* d) p. D6 ?# x1 P) C. u1 P% c0 i: C
The next scheduled date for announcing the overnight rate target is 12 April 2011. |
|