Bank of Canada senior deputy governor Carolyn Rogers spoke on Thursday CAD time toCalgary Economic Development.
Said that monetary policy rate decisions taken now by the Bank of Canada could take up to two years to have their full effect on inflation
- “Given the lag between changes to interest rates and their impact on inflation — and the considerable uncertainty surrounding the outlook — getting inflation all the way back to two per cent will take some time,”
- “Monetary policy works like a chain reaction or sequence of events,”
- “But that sequence takes time. Both history and research tell us that changes to the bank’s policy rate affect different households and sectors of the economy differently and at different speeds.”
CAD traded higher during the Thursday Canda session:
