OTTAWA (Reuters) – Canada’s Conservative government will present a cautious budget on Tuesday, lacking any big new measures, as it lays the groundwork for a surplus in 2015 that will allow it to offer tax breaks and other goodies before an election late in that year.
Finance Minister Jim Flaherty is eager to eliminate the government’s relatively small budget deficit and restore the reputation Canada had before the financial crisis as having the strongest fiscal record in the Group of Seven major economies.
OTTAWA/TORONTO (Reuters) – Craig McIntosh’s company exports half of what its Canadian plastics factories produce, so he should be rejoicing in the Canadian dollar’s slide to a four-year-low. But he’s not.
The chief executive officer of Acrylon Plastics, which made the plastic parts in the children’s play set on the White House south lawn, says his business is suffering from President Barack Obama’s policy of encouraging American firms to open factories at home.
OTTAWA, Feb 7 (Reuters) – The Bank of Canada signaled a
willingness on Friday to ignore the role intense retail
competition plays in keeping Canada’s inflation rate low, saying
that for monetary policy purposes this is “good disinflation”
and likely transitory.
Tiff Macklem said in his final scheduled public speech as
the central bank’s senior deputy governor that the bank believes
chronically weak inflation in Canada reflects both increased
competition by retailers and excess slack in the economy, with
only the latter considered “bad”.
OTTAWA (Reuters) – Canada and the United States have signed a tax-information sharing agreement, officials from the two countries said on Wednesday, months ahead of implementation of a new U.S. law to crack down on offshore tax avoidance.
The so-called intergovernmental agreement (IGA), one of 22 Washington has signed so far with individual countries, aims to address Canadian government concerns about the reach of Washington’s Foreign Account Tax Compliance Act (FATCA), due to come into effect in July, a senior Canadian finance official told reporters in a briefing session.
OTTAWA, Feb 3 (Reuters) – The International Monetary Fund
(IMF) says Canada’s central bank is likely to hold its main
interest rate steady until early 2015, and said the bank has
limited room to cut rates because of overvalued housing prices
and record-high household debt.
After consultations with Canadian officials on the state of
the economy, completed in late January, the IMF concluded the
Canadian economy will pick up speed in 2014, but highlighted
concerns that growth is still too reliant on consumer spending
and home-building, while exports and business investment lag.
ISLE-VERTE, Quebec (Reuters) – About 900 mourners in the small grief-stricken Quebec town of L’Isle-Verte attended a public mass on Saturday for the 32 people feared dead from a fire that ripped through a wooden retirement home.
Somber-faced friends and relatives sat in the town’s large 19th-century Roman Catholic church to hear prayers and tributes to victims of the January 23 blaze, one of the worst disasters to hit a Canadian residence for the elderly.
ISLE-VERTE, Quebec (Reuters) – Investigators sifting through the charred debris at a Quebec home for senior citizens may have found the spot where the fire started, police said on Friday, as the grief-stricken town prepared for a special ceremony for the victims on Saturday that will include Prime Minister Stephen Harper.
Thirty-two elderly residents are presumed dead after a fire ripped through the three-story building early on January 23 in the tiny town of L’Isle-Verte on the south shore of the St. Lawrence River, about 230 km (143 miles) northeast of Quebec City.
OTTAWA, Jan 27 (Reuters) – Canadian Finance Minister Jim
Flaherty said on Monday there is “no doubt” the government’s
books will be balanced in 2015, but he cautioned against
speculation the federal deficit will be eliminated any sooner
Flaherty, speaking to reporters in Ottawa, said he would
announce in the House of Commons later in the day the date the
government’s 2014-15 budget will be released. It is expected to
be in the first half of February.
OTTAWA, Jan 23 (Reuters) – North American regulators should
phase out the type of rail car involved in last July’s deadly
Lac-Megantic crash “sooner rather than later,” Canadian
investigators said on Thursday, urging the United States and
Canada to impose tougher standards swiftly.
Canada’s Transportation Safety Board (TSB) and the U.S.
National Transportation Safety Board (NTSB) issued three
recommendations each, adding pressure on regulators to improve
safety on the tracks after a series of oil-by-rail accidents in
OTTAWA, Jan 22 (Reuters) – The Bank of Canada signaled on
Wednesday it is more concerned about weak inflation than it was
three months ago and explicitly stated that its next move on
interest rates could be either down or up, depending on how
economic data unfolds.
The bank held its main overnight rate unchanged at 1.0
percent, as expected. While it said a more firmly entrenched
U.S. recovery and a weaker Canadian dollar would help lift
exports this year, its guidance on monetary policy was
incrementally more dovish than it had been.