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12 Feb 2013
BoC's Carney: Economic growth expected to pick up through 2013
Speaking before the Canadian House of Commons Standing Committee on Finance on Tuesday, BoC governor Mark Carney said that the timing of the withdrawal of monetary stimulus was "less imminent." He suggested that inflation would remain close to 1% in the short term and it would increase gradually, reaching the 2% target in the second half of 2014.
As far as GDP is concerned, in 2013 it should grow by 2% and in 2014 by 2.7%. According to Carney the Canadian economy will "reach full capacity in the second half of 2014, later than anticipated in October."
The BoC governor added that global tail risks to the economy decreased considerably, owing to a pick up in US and Chinese growth as well as the recent crisis relief in the Eurozone. "Supported by central bank actions and by positive policy developments in Europe, global financial conditions are more stimulative," he said.
As far as GDP is concerned, in 2013 it should grow by 2% and in 2014 by 2.7%. According to Carney the Canadian economy will "reach full capacity in the second half of 2014, later than anticipated in October."
The BoC governor added that global tail risks to the economy decreased considerably, owing to a pick up in US and Chinese growth as well as the recent crisis relief in the Eurozone. "Supported by central bank actions and by positive policy developments in Europe, global financial conditions are more stimulative," he said.