OTTAWA, April 17 (Reuters) – The Bank of Canada left its key
interest rate at 1 percent on Tuesday as expected but said it
may need to start hiking rates due to firmer-than-expected
growth and inflation as well as a less hostile global backdrop.
“In light of the reduced slack in the economy and firmer
underlying inflation, some modest withdrawal of the present
considerable monetary policy stimulus may become appropriate,
consistent with achieving the 2 percent inflation target over
the medium term,” the central bank said in a statement.
OTTAWA, April 12 (Reuters) – Canada has no desire to
contribute to a bailout fund for Europe, a spokesman for Prime
Minister Stephen Harper said on Thursday, noting that European
issues are likely to come up at this weekend’s Summit of the
Americas in Colombia, which Harper will attend.
“I think the euro zone is of particular interest, obviously.
That situation remains unresolved,” spokesman Andrew MacDougall
told reporters. “The biggest threat to the global recovery
OTTAWA, March 29 (Reuters) – Canada plans to eliminate a backlog of stale
immigration applications by skilled workers, in a potentially controversial move
designed to enable immigrants whose skills are in greater current demand to
enter the country faster.
Some Canadian employers have complained that backlogs have hobbled the
immigration system and made it unable to respond nimbly to demand for foreign
workers in higher growth sectors like video-gaming and the oil patch.
OTTAWA, March 28 (Reuters) – Spending cuts in Canada’s
federal budget, which will be presented on Thursday, will be
modest and mostly affect back-office operations rather than
programs and services, Finance Minister Jim Flaherty said on
Speaking to reporters during his customary pre-budget visit
to a shoe store, Flaherty promised the government would
eliminate its budget deficit, now at about 1.5 percent of gross
domestic product, in the medium term, without putting a date on
OTTAWA, March 27 (Reuters) – Canada’s industry minister, who
was found guilty of ethics violations last week, is being
formally investigated for possible wrongdoing in a second case,
the federal ethics watchdog said on Tuesday.
Christian Paradis, who handles some of the government’s most
sensitive files, may be turning into a political problem for
Conservative Prime Minister Stephen Harper, who came to power in
early 2006 promising more accountability in government.
OTTAWA, March 27 (Reuters) – For the second time in a week,
Canadian Prime Minister Stephen Harper was spurred on Tuesday to
defend his industry minister, Christian Paradis, over a question
CTV News reported that Paradis, who is also the cabinet
minister responsible for Quebec affairs, had stayed in 2009 at
the exclusive hunting lodge of businessman Marcel Aubut, who was
lobbying the federal government at the time to help fund a C$400
million ($404 million) hockey arena in Quebec City.
STITTSVILLE, Ontario, March 22 (Reuters) – The Canadian
government, dealing with signs of an overheated property market,
is ready to tighten mortgage insurance rules again if necessary,
Finance Minister Jim Flaherty said on Thursday.
Flaherty also chided bank executives for asking the
government to impose more restrictions, noting that the banks
are the entities that offer mortgages.
OTTAWA/VANCOUVER, March 12 (Reuters) – The Canadian
government brought in legislation on Monday to block a
strike or lockout at Air Canada, Ottawa’s third attempt
to halt labor action in just nine months.
The bill, which would prevent a work stoppage at the
country’s largest airline, is set to face two days of
Parliamentary debate, Labour Minister Lisa Raitt said.
TORONTO/OTTAWA (Reuters) – Canada’s government headed off a simultaneous strike and lockout at the country’s largest airline on Thursday, referring two labor disputes at Air Canada (ACb.TO: Quote, Profile, Research, Stock Buzz) to a federal tribunal.
The labor actions would have halted services during a particularly busy week for Air Canada, as spring break shuts down many Canadian schools and families travel.
TORONTO/OTTAWA, March 8 (Reuters) – Canada’s
government headed off a simultaneous strike and lockout at the
country’s largest airline on Thursday, referring two labor
disputes at Air Canada to a federal tribunal.
Air Canada had said it would lock out its 3,000 pilots at
one minute after midnight on March 12, the time picked by its
8,600-member machinists’ union to start a strike. Either
stoppage could have grounded the airline.