Economic Outlook: Interest rate increases start to hit home in Canada
Published on:
Sep 29, 2023
![Economic Outlook: Interest rate increases start to hit home in Canada Image]()
In our most recent September quarterly economic outlook, we discuss one of the most surprising occurrences over the past year: our country's resilient economic growth in the face of aggressive monetary tightening. In the second quarter of this year, we saw some impact as real gross domestic product (GDP) fell by 0.2 per cent. Over the near term, we expect the economy to continue to struggle in the face of high household debt, soaring interest payments, and stubbornly persistent inflation. Growth is forecast to resume at the beginning of next year as the fear of rising interest rates fades.
