Previously the Bank of Canada also held the target interest rate unchanged at its December meeting; it's last move was a 25 basis point increase to 1.00% in September last year. Canada reported annual CPI inflation of 2.9% in November and October, compared to 3.2% in September, 3.10% in August, 2.7% in July, 3.1% in June, 3.7% in May, and 3.3% in April, the same as March, according to Statistics Canada. The Bank of Canada has an inflation target of 2 percent over the medium term.
Canada reported year on year GDP growth of 3.4% in Q3 2011, 2.2% in Q2, and 2.9% in Q1, while "estimates that the economy grew by 2.4 per cent in 2011 and projects that it will grow by 2.0 per cent in 2012 and 2.8 per cent in 2013." The Canadian dollar (CAD), also known as the Loonie, has weakened by 3% against the US dollar over the past year, while the USDCAD exchange rate last traded around 1.013. The Bank of Canada next meets on the 8th of March 2012.