Business · Economy · 1 hr ago
Macklem says prolonged energy prices could make rate decisions harder
Bank of Canada Governor Tiff Macklem said higher energy prices pose a challenge for interest-rate decisions.
He spoke on Friday at a panel during the annual meetings of the IMF and World Bank in Bangkok.
Canada has not raised interest rates in response to the energy price increase, Macklem said.
The Bank has so far been looking through the rise in energy prices.
Macklem said a longer period of elevated prices would make that approach harder to maintain.
A separate headline said Macklem sees a sharply higher inflation outlook as oil surges, but no further details were provided.
The sources do not say what the Bank will do next.
Bank of Canada Governor Tiff Macklem said prolonged elevated energy prices could make interest rate decisions harder.
Macklem said the bank had not raised interest rates in response to the increase in energy prices.
He made the remarks during a panel discussion at the annual meetings of the IMF and World Bank.
The discussion took place in Bangkok on Friday.
- Who
- Tiff Macklem, governor of the Bank of Canada.
- What
- He said that the longer elevated energy prices persist, the harder it will be for the bank to keep looking through them.
- When
- Friday; the article was published on October 16, 2026.
- Where
- Bangkok, at the annual meetings of the IMF and World Bank.
- Why
- Elevated energy prices could make interest rate decisions harder.
This story does not have two clearly opposing sides.
This story does not have a timeline yet.
- Speaker
- Tiff Macklem
- Role
- Governor of the Bank of Canada
- Location
- Bangkok
- Event
- Annual meetings of the IMF and World Bank
- Policy status
- Canada had not raised interest rates in response to the energy price increase
4 sources
High global energy prices may hurt inflation outlook, Bank of Canada governor says
Bank of Canada’s Macklem expects higher inflation outlook as oil prices remain elevated
Bank of Canada sees sharply higher inflation outlook as oil surges, Macklem says
What people are saying
We haven’t raise our rates yet. We’ve been looking through the increase in energy prices, but the longer this goes, the harder that gets