Bank of Canada interest rates are forecast to drop to 2.75 per cent by the end of 2025

 

The Bank of Canada may cut the key interest rate to 3.75 per cent by the end of this year and to 2.75 per cent by 2025, the Credit 1 Economics Center forecasts. Next year, it will decrease by 0.25 percent at least once in each quarter. A continuous downward trend in policy interest rates is expected. In July this year, the interest rate was reduced by 0.25 percent to 4.5 percent. Interest rates are expected to drop to 4.25 percent at the September 4 announcement.