Vancouver: Premier David Eby and his counterparts in Ontario and Newfoundland and Labrador received a letter from the Bank of Canada governor after they urged him not to raise interest rates last month.
The September 13th reply from Tiff Macklem to the premiers has been released and he says that instructions or requests from elected officials could give the impression that the Bank of Canada’s independence is at risk.
The advice hasn’t deterred Ontario Premier Doug Ford who posted a social media message over the weekend, again calling on Macklem to keep interest rates steady.
On the letter written by the Bank of Canada’s Governor, BC premier David Eby says it’s his job to speak out to federal officials when their policies hurt British Columbia residents.
Eby confirmed that he has received a letter from Bank of Canada Governor Tiff Macklem, adding that the independence of the Bank of Canada remains safe, but he reserves the right to relay concerns to Macklem or any other future governor.
The central bank is set to make another interest rate statement this week but analysts don’t expect the key rate to budge as the economy weakens and inflation eases. — The Canadian Press