Today, the Bank of Canada announced a 0.75% increase to its key overnight rate, bringing it to 3.25%. The increase is the fifth this year; at the start of the 2022, the bank’s rate was 0.25%. 

In the rate announcement, the Bank of Canada says global inflation remains high while the Canadian economy continues to operate in “excess demand.”

Canada’s year-over-year inflation rate was 7.6% in July, easing from 8.1% in June as gas prices fell. The Bank of Canada has an inflation rate target of 2%. 

The next scheduled date for announcing the overnight rate target is October 26, 2022.