Bank of Canada Raises Policy Rate by 25 Basis Points to 2.5% in First Hike in Three Years The Bank of Canada on October 28, 2026, raised it…
Bank of Canada Raises Policy Rate by 25 Basis Points to 2.5% in First Hike in Three Years
The Bank of Canada on October 28, 2026, raised its target for the overnight rate by 25 basis points to 2.5%, the first increase since July 2023. The Bank Rate is now 2.75% and the deposit rate is 2.45%. The move aims to reduce the risk that persistently high energy prices spread to the prices of other goods and services. Governing Council said the policy rate may need to rise further, but it will proceed carefully given the uncertainties.