Patricia Lattanzio
Patricia Lattanzio
Member of Parliament for Saint-Léonard—Saint-Michel
Bank of Canada Cuts Interest Rates to 3.75%: Here’s what it means for you!
October 25, 2024

The Bank of Canada is supporting economic growth while keeping inflation in check. This week the interest rate was lowered by .50% and now stands at 3.75%, the lowest since 2022. This fourth consecutive cut to interest rates is welcome news for Canadians as the Bank expects Canada’s economy to continue to strengthen. For Canadians, this growth means more jobs, higher wages, and a rising standard of living. It is also great news for current and aspiring homeowners – whether you’re renewing or buying for the first time, mortgages are becoming more affordable. 

Inflation in Canada has also dropped significantly, reaching 1.6% in September the lowest in 3.5 years! The Bank of Canada and our government has been working hard to keep inflation within the target range. Governor Tiff Macklem of the Bank of Canada said this week that, "All this suggests we are back to low inflation. This is good news for Canadians." We couldn’t agree more.

Our Liberal government is going to keep doing our part by introducing policies and reforms which will boost our economy and get money back into Canadian’s pockets, while the Bank continues its independent work to keep inflation down. We are building on Canada’s strong economic and fiscal position to make the investments Canadians need – in housing, in affordability, and in economic growth – so that every generation has a fair chance to succeed. We have made significant mortgage reforms, and we are investing in creating good-paying jobs, fast-tracking homebuilding, and changing how homes are getting built.

Canadian workers are earning larger paychecks on average – even after accounting for inflation – than they did before, and companies are choosing to invest in Canada and in Canadian workers. Our Liberal plan is to invest in Canadians, and that plan is working.

 

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