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Economics

Macklem says Bank of Canada needs to 'stick the landing' with inflation now at 2%

Sadiq Adatia, CIO of BMO Global Asset Management, joins BNN Bloomberg and talks about inflation cools down to 2% BOC's target.

TORONTO — Governor Tiff Macklem says he is pleased that inflation has fallen to two per cent, but the Bank of Canada now has to “stick the landing” and keep price growth centred around the target.

That’s according to prepared remarks the governor is delivering in Toronto today at an event hosted by the Institute of International Finance and the Canadian Bankers Association.

Macklem says it’s reasonable to expect more interest rate cuts, given the progress made on inflation.

Statistics Canada reported last week that the annual inflation rate fell to two per cent in August, the lowest level in more than three years.

The governor says the central bank now wants to see core measures of inflation as well as shelter price growth cool further.

The Bank of Canada’s next interest rate announcement is scheduled for Oct. 23.

This report by The Canadian Press was first published Sept. 24, 2024.

The Canadian Press