Summaries of Central Bank Policy Deliberations: A Canadian Context Staff Discussion Paper 2023-2 Monica Jain, Walter Muiruri, Jonathan Witmer, Sharon Kozicki, Jeremy Harrison This paper provides the context, rationale and key considerations that informed the Bank of Canada’s decision to publish a summary of monetary policy deliberations. It includes an analysis of how other central banks disclose minutes and summaries of their monetary policy deliberations. Content Type(s): Staff research, Staff discussion papers Research Topic(s): Monetary policy communications JEL Code(s): D, D8, D83, E, E5, E58
May 18, 2023 Release of the Financial System Review Opening statement Tiff Macklem, Carolyn Rogers Ottawa, Ontario Press conference following the release of the Financial System Review. Content Type(s): Press, Speeches and appearances, Opening statements Research Topic(s): Financial institutions, Financial markets, Financial stability, Financial system regulation and policies, Interest rates, International financial markets, Recent economic and financial developments, Wholesale funding
Reviewing Canada’s Monetary Policy Implementation System: Does the Evolving Environment Support Maintaining a Floor System? Staff Discussion Paper 2023-10 Toni Gravelle, Ron Morrow, Jonathan Witmer At the onset of the pandemic, the Bank of Canada transitioned its framework for monetary policy implementation from a corridor system to a floor system, which it has since decided to maintain. We provide a comprehensive analysis of both frameworks and assess their relative merits based on five key criteria that define a sound framework. Content Type(s): Staff research, Staff discussion papers Research Topic(s): Market structure and pricing, Monetary policy implementation, Payment clearing and settlement systems JEL Code(s): D, D4, D47, E, E4, E42, E5, E58
May 8, 2023 Backgrounder on removing the past sales growth question from the Business Outlook Survey In the first quarter of 2023, Bank staff removed the question on past sales growth from the BOS questionnaire. This backgrounder outlines the reasons for the change and discusses its implications. Content Type(s): Background materials
May 4, 2023 Getting inflation back to 2% Speech summary Tiff Macklem Toronto Region Board of Trade Toronto, Ontario Governor Tiff Macklem explains that higher interest rates are working to slow inflation but warns that getting all the way back to the 2% target may take time. He also discusses the recent stress in the global banking sector and how financial stability and price stability work together. Content Type(s): Press, Speeches and appearances, Speech summaries Research Topic(s): Expectations, Financial institutions, Financial stability, Financial system regulation and policies, Inflation and prices, Inflation targets, International financial markets, Monetary policy, Price stability, Service sector
March 7, 2023 RPAC Meeting (March 7, 2023) Topics: Overview of draft regulations Content Type(s): Meetings Source(s): Retail Payments Advisory Committee
Firms’ inflation expectations and price-setting behaviour in Canada: Evidence from a business survey Staff Analytical Note 2023-3 Ramisha Asghar, James Fudurich, Jane Voll Canadian firms’ expectations for high inflation may be influencing their price setting, supporting strong price growth and delays in the transmission of monetary policy. Using data from the Business Outlook Survey, we investigate the reasons behind widespread price growth seen in Canada in 2021 and early 2022. Content Type(s): Staff research, Staff analytical notes Research Topic(s): Firm dynamics, Inflation and prices, Monetary policy transmission, Recent economic and financial developments JEL Code(s): D, D2, D22, E, E3, E31
February 24, 2023 The lifespan of a bank note At the Bank of Canada, we assessed the life cycle of bank notes to confirm that polymer notes have a smaller environmental footprint than paper notes. Polymer notes have a longer life and then are recycled. Content Type(s): Background materials Research Topic(s): Bank notes