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Kozicki: Exceptional policies for an exceptional time: From quantitative easing to quantitative tightening
Good morning. Thank you, Bolanle, for your kind introduction. I am pleased to be here in my hometown of Ottawa with the Canadian Association for Business Economics. I always enjoy speaking to a room full of economists and business professionals who are interested in the economy. You’ve long been some of the most engaged consumers of central bank speeches. The COVID-19 pandemic and subsequent rise in inflation have broadened the audience for speeches like this one. Canadians have questions for us at the Bank of Canada, and we want to answer them. So today my overarching themes will be transparency and ... (full story)
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Reviewing our pandemic actions
video In March 2020, the world faced an unimaginable health and economic crisis. Economies shut down and financial markets spiralled. Fearing another Great Depression, governments and central banks around the world took quick and decisive actions. The Bank cut the policy interest rate to 0.25%. This is the effective lower bound—the lowest level the interest rate can be before the Bank has to use other, less conventional monetary policy tools. We also made use of emergency liquidity programs and facilities to restore market functioning. By the summer of 2020, markets were functioning, but the economy was in deep ... (full story)
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BOC'S DEP. GOV. KOZICKI: IF INFLATION CONTINUES TO EASE, IT IS REASONABLE TO EXPECT FURTHER RATE CUTS. WE ARE TAKING OUR INTEREST RATE DECISIONS ONE MEETING AT A TIME.
— FinancialJuice (@financialjuice) June 13, 2024
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BOC'S KOZICKI: THE BAR FOR US TO USE QE AGAIN IS VERY HIGH.
— FinancialJuice (@financialjuice) June 13, 2024