In a recent announcement, the Bank of Canada has decided to reduce its policy rate by 50 basis points to 3.25%.

The central bank cited national inflation hovering around 2% since the summer months and softer-than-expected growth data as the primary reasons for this decision.

The Bank of Canada's Commitment to Price Stability

The Bank emphasized its commitment to maintaining price stability for Canadians, aiming to keep inflation close to the 2% target. The governing council has already substantially reduced the policy rate since June and will continue to evaluate the need for further reductions, guided by incoming information and its assessment of the inflation outlook.