OTTAWA (Reuters) – The Bank of Canada held its benchmark interest rate at 1 percent on Wednesday, but it revised its guidance dramatically to say that excess capacity in the economy, soft inflation and stabilizing household debt have combined to push any rate increase further away than previously thought.
Governor Mark Carney has been the most hawkish central banker in the Group of Seven (G7) major industrial economies for several months, but he has steadily been watering down his guidance on the need to start raising rates.
OTTAWA, Jan 23 (Reuters) – The Bank of Canada held its
overnight interest rate at 1 percent on Wednesday but
dramatically revised its projections to say any hike would be
further away than previously thought, because of excess
capacity, soft inflation and stabilizing household debt.
“While some modest withdrawal of monetary policy stimulus
will likely be required over time, consistent with achieving the
2 percent inflation target, the more muted inflation outlook and
the beginnings of a more constructive evolution of imbalances in
the household sector suggest that the timing of any such
withdrawal is less imminent than previously anticipated,” said
the central bank, led by Mark Carney.
OTTAWA (Reuters) – The Canadian government might have to review any sale of BlackBerry maker Research in Motion Ltd’s handset business to a foreign buyer, Industry Minister Christian Paradis told Reuters on Tuesday.
Asked if he would allow such a sale to a foreign company, Paradis said: “It’s speculation and each decision on each case is based on its own merit, so it would premature for me to speculate on any of these kinds of cases.
OTTAWA (Reuters) – The Bank of Canada has barked up the wrong maple tree with its new plastic banknotes, using a foreign Norway maple leaf as the emblem on the notes instead of the sugar maple that the country has on its national flag, an eagle-eyed Canadian botanist says.
The untrained eye might not at first spot the difference between the maple leaf on the new $20, $50 and $100 bills and the North American sugar maple.
OTTAWA, Jan 18 (Reuters) – The Bank of Canada has barked up
the wrong maple tree with its new plastic banknotes, using a
foreign Norway maple leaf as the emblem on the notes instead of
the sugar maple that the country has on its national flag, an
eagle-eyed Canadian botanist says.
The untrained eye might not at first spot the difference
between the maple leaf on the new $20, $50 and $100 bills and
the North American sugar maple.
OTTAWA, Jan 11 (Reuters) – Canadian Prime Minister Stephen
Harper agreed in a meeting with native leaders on Friday to pay
more attention to their demands, trying to mollify an aboriginal
protest movement that has threatened to blockade roads and
railways across the country.
Faced with a seemingly intractable situation that has
confronted successive governments, H arper agreed to a high-level
dialogue with the natives and to have his office t a ke increased
responsibility for their issues, Aboriginal Affairs Minister
John Duncan said.
OTTAWA, Jan 11 (Reuters) – Aboriginal protesters blocked the
main entrance to a building where Canada’s prime minister was
preparing to meet some native leaders on Friday, highlighting a
deep divide within the country’s First Nations on how to push
Ottawa to heed their demands.
The noisy blockade, which lasted about an hour, ended just
before Prime Minister Stephen Harper and his aides met with
about 20 native chiefs, even as other leaders opted to boycott
KINGSTON, Ontario, Jan 10 (Reuters) – Canada’s economy will
likely be more sluggish than expected in the near term and the
Bank of Canada will take that into account in its revised
economic forecasts later this month, the Bank of Canada’s senior
deputy governor, Tiff Macklem, said on Thursday.
“We continue to expect economic activity to pick up through
2013, but near-term momentum now appears to be slightly softer
than previously anticipated,” Macklem said.
OTTAWA, Jan 7 (Reuters) – The Bank of Canada is looking for
a new boss with “the courage to take a stand” as it seeks to
replace Governor Mark Carney, who is leaving to head the Bank of
But an advertisement for the position, published on Monday,
made clear that Canada is not about to follow Britain in
appointing a foreign citizen to head its central bank.
OTTAWA, Jan 4 (Reuters) – Canada’s prime minister will meet
with native leaders next week to discuss social and economic
issues, an olive branch to an angry aboriginal movement that has
blockaded rail lines and threatened to close Canada’s borders
with the United States.
Stephen Harper made no mention of the aboriginal protests in
a statement announcing the Jan. 11 meeting.