Council Reports

Feb 27

Bank of Canada Should Cut Overnight Rate to 1.50 Percent Next Week and to 1.25 in April: C.D. Howe Institute Monetary Policy Council

February 27, 2020 – The C.D. Howe Institute’s Monetary Policy Council (MPC) recommends that the Bank of Canada lower its target for the overnight rate, its benchmark policy interest rate, to 1.50 percent next week. The MPC further recommends that the Bank cut again at its next announcement in April, to 1.25 percent, and hold the target there until early 2021.

The MPC provides an independent assessment of the monetary stance consistent with the Bank of Canada’s 2 percent inflation target. William Robson, the Institute’s President and CEO, chairs the Council. Council members make recommendations for the Bank of Canada’s upcoming interest-rate announcement, the subsequent announcement, and the announcements six months…

Jan 16

Bank of Canada Should Hold Overnight Rate at 1.75 Percent through July, Cut to 1.50 by Next Year: C.D. Howe Institute Monetary Policy Council

January 16, 2020 – The C.D. Howe Institute’s Monetary Policy Council (MPC) recommends that the Bank of Canada keep its target for the overnight rate, its benchmark policy interest rate, at 1.75 until July 2020. 1.75 percent was the median vote of the nine members attending the meeting, and is the Council’s formal recommendation. By January of 2021, with four members calling for a cut in the target at some point, and three calling for an increase, the Council’s median recommendation was 1.50.

The MPC provides an independent assessment of the monetary stance consistent with the Bank of Canada’s 2 percent inflation target. William Robson, the Institute’s President and CEO, chairs the Council. Council members make…

Oct 24

Bank of Canada Should Hold Overnight Rate at 1.75 Percent Next Week, Cut to 1.50 Percent in Six Months: C.D. Howe Institute Monetary Policy Council

October 24, 2019 – The C.D. Howe Institute’s Monetary Policy Council (MPC) has recommended that the Bank of Canada keep its target for the overnight rate, its benchmark policy interest rate, at 1.75 percent at its next announcement on October 30, 2019, before lowering it to 1.50 percent by April 2020.

The MPC provides an independent assessment of the monetary stance consistent with the Bank of Canada’s 2 percent inflation target. William Robson, the Institute’s President and CEO, chairs the Council. Council members make recommendations for the Bank of Canada’s upcoming interest-rate announcement, the subsequent announcement, and the announcements six months and one year ahead. The Council’s formal recommendation…