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Dawn Stephanishin
Bringing you Expert, Independent Advice for all your Mortgage Needs
Bringing you Expert, Independent Advice for all your Mortgage Needs


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Bank of Canada keeps interest rate at 1%!
The Bank of Canada kept its benchmark interest rate at one per cent on Wednesday.

That's the rate on which other retail banks base their rates for savers and borrowers.

The rate, known as the target for the overnight rate, sets the terms at which banks can borrow from the central bank and each other for short-term loans.

The rate has been at that level for more than three years, dating back to September 2010. The bank meets every six weeks to decide on interest rates, and has now decided to leave the rate unchanged for 26 consecutive meetings — its longest stretch of inaction ever.

Broadly, the bank lowers the rate when it wants to stimulate the economy, and raises it when it wants to slow down growth.

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