If you feel as if interest rates have been high for a while now, it’s probably because they rose very quickly. Actually, it was only seven months ago, in March 2022, that the Bank of Canada started increasing its key interest rate after holding it steady at 0.25% since March 2020.
We have to go back to 2008 to find a key rate above 3.0%. In fact, the bank rate was 4.75% in July 2007, and it took about 20 months for the Bank of Canada to bring it back down to less than 1%.
The next key interest rate revision is scheduled for October 26.
The following sources were used to prepare this article:
Bank of Canada, “Key Interest Rate Lookup”; “Upcoming Events.”