Bank of Canada holds key rate at 2.25 per cent once again

OTTAWA — The Bank of Canada held its benchmark interest rate steady at 2.25 per cent for a seventh consecutive decision today.

The central bank has been on the sidelines since late last year and was widely expected to remain on hold heading into today’s decision.

Monetary policymakers at the Bank of Canada use the policy rate to keep a lid on inflation and support economic growth when prices are contained.

Inflation rose to three per cent in July after the war in Iran drove a volatile period for gas prices over the spring and summer.