(Ottawa) Further interest rate hikes from the Bank of Canada are still on the table, with its board of directors remaining divided on the need for such a measure.
The central bank published on Wednesday the summary of deliberations detailing the discussions that members of its governing council had before announcing, on October 25, that it was leaving its key interest rate unchanged.
According to the document, some members believe it is more likely that interest rates will have to rise to bring inflation back to its target level.
But other members say the policy rate is now high enough to bring down inflation, provided the central bank keeps it there long enough.
The Bank of Canada ultimately decided to be patient by keeping its key rate at 5%, and board members agreed to re-examine the need for another rate hike.
The central bank remains concerned that inflation is not slowing fast enough, despite the economy’s response to rising interest rates.