 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.
8 F& j: X+ K0 I- e1 P
7 _4 j9 s5 L+ K1 U; G4 uThe global economic recovery is proceeding broadly in line with the Bank's projection in its7 x- j; V+ l! b4 Q' t4 T' y3 O; d
January Monetary Policy Report (MPR), although risks remain elevated. U.S. activity is
! G5 k, X, y6 o" i2 fsolidifying and remains supported by stimulative fiscal and monetary policies. Ongoing
3 K3 `3 |& t7 N0 tchallenges associated with sovereign and bank balance sheets will limit the pace of the European
, A: J4 Q0 ]' P0 rrecovery and are a significant source of uncertainty to the global outlook. Robust demand from
. q( j$ ^2 F/ f6 temerging-market economies is driving the underlying strength in commodity prices, which could
; K7 l# l0 U: u# q5 G* [be further reinforced temporarily by supply shocks arising from recent geopolitical events.
1 C) E4 I4 `/ F7 P. R4 `/ m$ j p4 S. V" ?' M
The recovery in Canada is proceeding slightly faster than expected, and there is more evidence of
& P) m& i# X* j1 [2 Z: Ethe anticipated rebalancing of demand. While consumption growth remains strong, there are
' m" J7 G6 s) _: _3 W0 @5 E2 T8 Esigns that household spending is moving more in line with the growth in household incomes.
" E4 v$ j Z l) iBusiness investment continues to expand rapidly as companies take advantage of stimulative' ]9 b: f: ]& w$ E& |
financial conditions and respond to competitive imperatives. There is early evidence of a9 W0 Q: c; z1 p# K
recovery in net exports, supported by stronger U.S. activity and global demand for commodities.+ r) B7 a- \. w( e8 b" U6 f
However, the export sector continues to face considerable challenges from the cumulative effects9 p' P* @5 S2 J, g" y/ o
of the persistent strength in the Canadian dollar and Canada's poor relative productivity3 D! c# t7 l- @: b7 N( q0 l
performance.: h1 }& U N. K2 V& E
% G! F. i8 m* V- l3 \, A
While global inflationary pressures are rising, inflation in Canada has been consistent with the
; f1 R! e- H- J/ _+ o: lBank's expectations. Underlying pressures affecting prices remain subdued, reflecting the0 u0 K# g- C0 X
considerable slack in the economy.
& }3 [; r9 {" \
) Q o! ?% Y- [$ IReflecting all of these factors, the Bank has decided to maintain the target for the overnight rate
0 G& _ C1 T3 r' pat 1 per cent. This leaves considerable monetary stimulus in place, consistent with achieving the# @3 U6 z( W/ B, T! z
2 per cent inflation target in an environment of significant excess supply in Canada. Any further% L; @! w! p& z4 b1 r5 l, `6 M
reduction in monetary policy stimulus would need to be carefully considered.5 R: a. [* j( s- a$ n* s0 t
Information note:
& s0 f6 D* R- s. R$ a( _9 e- e8 q, L
The next scheduled date for announcing the overnight rate target is 12 April 2011. |
|