Bank of Canada hikes key interest rate to 1.25%
Wednesday Jan 17th, 2018Share
3rd time's the charm? Bank of Canada hikes key interest rate to 1.25%
3rd time benchmark lending rate has been raised since last summer
The Bank of Canada raised its key lending rate by a quarter percentage point to 1.25 per cent Wednesday, the third time it has moved its benchmark rate from once-record lows last summer.
The bank's rate has an impact on rates that Canadians get from retail banks for things like mortgages, savings accounts and GICs. The move means borrowers can expect to pay more, but savers can expect to earn more, too.
The bank was widely expected to raise its key rate after economic data in recent months showed gross domestic product growing, the job market healthy and the cost of living ticking higher.
Bloomberg, CBC News