Wednesday, October 1st7.6°C
22738
22805

Canadians can bank on low interest rate environment for years to come: Poloz

Bank of Canada governor Stephen Poloz says Canadians should expect cheap borrowing costs to last for years even after he finally gets around to hiking interest rates.

The central banker told a business group in Saskatoon that the Canadian economy has room to grow but even when it returns to full capacity, likely sometime in early 2016, it won't take a big adjustment in interest rates to keep inflation in check.

Poloz says that the consensus is that interest rates will remain lower than historical levels — a so-called new norm — even when the economy is back firing on all cylinders.

The Bank of Canada has not budged on interest rates for almost four years, maintaining the trendsetting overnight rate at one per cent since September 2010.

Meanwhile, Poloz says that although Western Canada has been the main beneficiary of the commodities boom and higher oil prices, all Canadians have benefited to some extend through higher average incomes.

He says the bank's research has calculated that Canada's gross domestic income is about seven per cent higher today than it would have been without the improvement in terms of trade brought on by resource exports since 2002.

The Canadian Press


Read more Business News

23057


Recent Trending




Today's Market
S&P TSX14960.51-16.41
S&P CDNX909.29-3.47
DJIA17042.90-28.32
Nasdaq4493.39-12.462
S&P 5001972.29-5.51
CDN Dollar0.8919-0.0012
Gold1209.30-2.2999
Oil90.17+0.41
Lumber333.20+0.30
Natural Gas4.139+0.018

 
Okanagan Companies
Pacific Safety0.13-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.26+0.03
Cantex0.065-0.025
Anavex Life Sciences0.184-0.001
Metalex Ventures0.0550.00
Russel Metals34.57+0.08
Copper Mountain Mining2.42-0.10
Colorado Resources0.165+0.015
ReliaBrand Inc0.019-0.001
Sunrise Resources Ltd0.065+0.045
Mission Ready Services0.32-0.02

 





FEATURED Property
20895623828 Glen Canyon Drive
3 bedrooms 3 baths
$399,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


Power-save your way to a down payment

Part 2 of 2 to read Part 1, click here. 5. Dial down your vacations. New York is out. Maybe Buffalo. For West coast, maybe Seattle instead of Hawaii. Use sites like Airbnb (aribnb.ca) to find ch...


A wildly successful manufacturer

Niche food producer “Sweets from the Earth” thrives using innovation, uniqueness and an unwavering focus on quality. A neighbour’s stew turned Ilana Kadonoff off meat at the age of s...


Finding the smart money

Recently I had the privilege of working alongside André Voskuil, a local guru in the world of Alternative Financing. André has quite the reputation in the world of direct investments as ...

_



23545




Member of BC Press Council


23266