Bank of Canada to maintain interest rates despite economic growth

The Bank of Canada is expected to keep interest rates unchanged at its upcoming meeting, despite recent economic strength, as it hopes for activity to cool down with higher borrowing costs. While inflation has cooled, other economic indicators are pointing to an economy that is picking up pace. The central bank is seeking to rebuild public trust after facing criticism for acting too slowly to tame inflation, which spiked after pandemic restrictions were lifted. All 33 economists polled by Reuters agree that the BoC will hold its key overnight rate steady on Wednesday when it makes its next policy announcement.