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Bank Of Canada Holds Interest Rate at 4.5%
March 8, 2023 | Posted by: Dallas Martin

Bank Of Canada Holds Interest rate at 4.50%
Canadians sigh in relief after the Bank of Canada announced that it will keep its interest rate at 4.5%. After all, the bank had hiked rates eight consecutive times since March 2022—putting a severe squeeze on people's finances and hammering the housing market—in an effort to cool off rising prices and inflation. Yet despite such drastic measures, it appears the bank is now content to sit back and wait for inflation to slow.
It's an odd move from an institution that seems increasingly determined to keep a tight grip on our wallets. Sure, that 2-per-cent target rate for inflation may seem reasonable—but with all this monetary policy tightening taking place, it's hard not to feel like the Bank of Canada is playing games with Canadians' well-being.
In any case, only time will tell if this decision proves to be a wise one. But for now, we can only hope that the bank has done enough to keep inflation in check—and get Canadians back on track with their finances. After all, we deserve better than having our wallets held captive by the Bank of Canada.
With these words of caution, we must remain vigilant when it comes to the Bank of Canada's handling of our hard-earned money. Ultimately, how they manage their funds will determine the price we will pay in the future.
But Canadians should remember that while the bank may have paused its campaign to increase borrowing costs, it could still raise rates further if inflation doesn't slow as quickly as expected.