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The Bank of Canada maintains the policy interest rate at 2.75%, and the trade situation remains to be observed.
According to Wu, the Bank of Canada mentioned in the minutes of its monetary policy meeting on June 4, 2025 that the global economy has remained stable in the environment of U.S. tariff changes since the release of the April policy report. While the U.S.-China trade relationship has improved and tariffs have been lowered, the overall tariff level of the United States has risen, the trade policy has not yet been clarified, and there are unstable factors in the global situation.
In response to the current situation, the management committee has decided to maintain the policy interest rate at 2.75% and emphasized that future interest rate adjustment plans will be continuously evaluated based on the trends in U.S. trade policy and its actual effects on the Canadian economy and inflation.
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