The Bank of Canada has reduced its benchmark interest rate by 25 basis points , bringing it to 2.25% . The decision reflects continued weakness in Canada’s economy, with GDP contracting 1.6%  in the second quarter, and inflation moving closer to the Bank’s 2% target. Governor Tiff Macklem stated that the rate cut aims to provide modest support to households and businesses amid softening economic activity. However, he emphasized that this may mark the final cut in the current

Prime Minister Mark Carney has set an ambitious goal for Canada: to double its non-U.S. exports within the next decade . The move signals a sharp shift in the country’s trade priorities, as Carney argues that Canada can no longer rely so heavily on the United States as its primary market. Currently, over 75 percent of Canadian exports go to the U.S. , a dependence Carney now calls a “vulnerability.” Rising trade tensions and recurring tariffs on key sectors such as steel, lum

The Bank of Canada is wading back into economic forecasting — but this time with humility. Governor Tiff Macklem said the central bank will have to be “humble” in its projections, given the unpredictable mix of global and domestic risks. Earlier this year, the Bank paused its forecasts, citing “heightened uncertainty” around trade and global pressures. Now, it’s bringing them back — cautiously. What’s New — and What’s Worrying Risk over precision:  The Bank will focus more on