Canada keeps 2% inflation target in renewed framework
The Bank of Canada and federal government have renewed their monetary policy agreement for five years, retaining the 1% to 3% control range and flexibility to respond to shocks.
Canada’s government and central bank have renewed their monetary policy framework, keeping the inflation target at 2% for another five-year period. Bank of CanadaCityNews
The target remains the midpoint of a 1% to 3% range, measured by the 12-month change in the consumer price index. The renewed agreement runs to 31 December 2031. Bank of Canada
The Bank says inflation returned to target after global shocks pushed it higher, and says it has strengthened its analysis of how supply shocks affect Canadian inflation. Bank of Canada