The repeated increases that have been decreed since March 2022 are suffocating Quebec families, pleads the PQ. However, a new update from the Bank of Canada is scheduled for Wednesday, and a further increase in the key rate is not excluded.
In this context, Paul St-Pierre Plamondon’s party is calling on Premier Legault to take up the pen on behalf of his government, much like Doug Ford and David Eby did. (new window) in recent days, to urge central bank leaders to exercise restraint.
A further increase in the key rate on Wednesday would hurt households, who would pay more for their mortgages and loans, said St-Pierre Plamondon in a press release on Tuesday. Such an increase would be catastrophic
according to him.
The Government of Quebec must be proactive, even though it is a federal jurisdiction. If the Premier of British Columbia and the Premier of Ontario can do it, there is nothing stopping François Legault from being heard.
According to PQ, the Bank of Canada slept on the gas for several months by playing down the real estate bubble and the first signs of rising inflation, then acted in a precipitous and brutal manner
by ordering increases that have impoverished hundreds of thousands of Quebecers
.
The deputies of the PLQ were gathered in pre-session caucus Tuesday in Saint-Paulin, in Mauricie.
Photo: The Canadian Press/Ryan Remiorz
Asked about this on the sidelines of the precession caucus of the QLPthe acting head of training, Marc Tanguay, also showed concern about the successive increases in the Bank of Canada’s key rate.
In principle, it is clear that we are calling on François Legault to take steps on this.
he mentioned, without specifying whether, in his opinion, the Premier of Quebec should explicitly ask the central bank not to touch the key rate.
The principal concerned, in any case, will do nothing about it. Asked about the subject in Granby, where he had just announced the establishment of a copper sheet factory (new window)François Legault judged that the central bank had things in hand.
I understand that it hurts a lot of Quebecers that interest rates are high
first agreed the Prime Minister. But I think the Bank of Canada has goals to be able to control inflation
he added.
We can help citizens; we must help the citizens; we helped the citizens; we will continue to help citizens
, underlined François Legault. But I don’t think it’s a good idea to suggest putting both hands in the decisions of the Bank of Canada
did he declare.
From 0.25% to 5% in 18 months
L’inflation (new window) has taken off in Canada since the COVID-19 pandemic. To curb it, the Bank of Canada has decreed rate hikes ten times since March 2022.
The policy rate, which was only 0.25% 18 months ago, is currently at 5%. The most recent increase, of 25 basis points, was enacted in July (new window). An announcement is expected on Wednesday, but most observers expect the key rate to remain unchanged.
The Bank of Canada is an independent institution. That said, nothing in the law prevents provincial premiers from writing to their leaders or publicly attempting to influence their decisions.
2023-09-05 21:14:49
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