Posts

• High-Cost Consumer Credit: Desperation, Temptation and Default

  Staff Working Paper 2025-6 Joaquín Saldain

  I study the welfare consequences of regulations on high-cost consumer credit in the United States and find that borrowing limits have distributional impacts on households with self-control issues.

  Content Type(s): Staff research, Staff working papers Topic(s): Credit and credit aggregates, Financial markets, Interest rates JEL Code(s): E, E2, E7, E71, G, G5, G51

• Anchored Inflation Expectations: What Recent Data Reveal

  Staff Working Paper 2025-5 Olena Kostyshyna, Isabelle Salle, Hung Truong

  We analyze micro-level data from the Canadian Survey of Consumer Expectations through the lens of a heterogeneous-expectations model to study how inflation expectations form over the business cycle. We provide new insights into how households form expectations, documenting that forecasting behaviours, attention and noise in beliefs vary across socio-demographic groups and correlate with views about monetary policy.

  Content Type(s): Staff research, Staff working papers Topic(s): Inflation and prices JEL Code(s): D, D8, D84, E, E3, E31, E7, E70
• January 30, 2025

  Award-winning exhibition “Money in 10 Questions: Kids Edition” hits the road across Canada

  The Bank of Canada Museum is thrilled to announce the nationwide tour of its award-winning travelling exhibition, Money in 10 Questions: Kids Edition, kicking off at the Lloydminster Museum + Archives from January 31 to April 27, 2025.

  Content Type(s): Press, Announcements
• January 29, 2025

  Bank of Canada Media Interview – Bloomberg News

  Tiff Macklem, Governor of the Bank of Canada, gave an interview to Erik Hertzberg of Bloomberg News.

  Content Type(s): Press, Media advisories
• January 29, 2025

  Bank of Canada Media Interview – Le Devoir

  Tiff Macklem, Governor of the Bank of Canada, gave an interview to Clémence Pavic of Le Devoir.

  Content Type(s): Press, Media advisories
• January 29, 2025

  Bank of Canada announces an adjustment to the deposit rate and some changes to terms and conditions for Overnight Reverse Repo Operations

  The Bank announced it is making an adjustment to the deposit rate. Effective January 30, the deposit rate will be set at a spread of 5bps below the Bank’s policy interest rate.

  Content Type(s): Press, Market notices Source(s): Overnight reverse repo operations
• January 29, 2025

  Bank of Canada provides operational details for restarting asset purchases to end quantitative tightening

  Today, the Bank of Canada is announcing its plan to complete its balance sheet normalization, ending quantitative tightening.

  Content Type(s): Press, Market notices Source(s): Term repo operations
• January 29, 2025

  Bank of Canada reduces policy rate by 25 basis points to 3%, announces end of quantitative tightening

  Media Relations Ottawa, Ontario

  The Bank of Canada today reduced its target for the overnight rate to 3%, with the Bank Rate at 3.25% and the deposit rate at 2.95%.

  Content Type(s): Press, Press releases
• January 29, 2025

  Monetary Policy Report—January 2025

  

  Economic growth has ticked up in Canada, boosted by past cuts in interest rates. In the absence of new tariffs, growth is forecast to strengthen, and inflation remains close to 2%. But the threat of new tariffs is causing major uncertainty.

  Content Type(s): Publications, Monetary Policy Report
• January 29, 2025

  Monetary Policy Report Press Conference Opening Statement

  Opening statement Tiff Macklem Ottawa, Ontario

  Governor Tiff Macklem discusses the Monetary Policy Report and the key issues involved in the Governing Council’s deliberations about the monetary policy decision.

  Content Type(s): Press, Speeches and appearances, Opening statements