OTTAWA (AFP) - Canada's central bank on Tuesday cut its key lending rate by 0.5 percent to a mere 0.5 percent, as the global economy deteriorates.
Since December 2007, the Bank of Canada has cut its interest rates by 400 basis points in a bid to help stem the economic slide.
Despite its aggressive cuts, it noted: "Potential delays in stabilizing the global financial system, along with larger-than-anticipated confidence and wealth effects on domestic demand," could push a turnaround from mid-2009 to early 2010.
Since December 2007, the Bank of Canada has cut its interest rates by 400 basis points in a bid to help stem the economic slide.
Despite its aggressive cuts, it noted: "Potential delays in stabilizing the global financial system, along with larger-than-anticipated confidence and wealth effects on domestic demand," could push a turnaround from mid-2009 to early 2010.
