Fri Jan 27, 2023 – 5:28 pm EST
OTTAWA (LifeSiteNews) — After again raising interest rates in response to high inflation spurred by massive federal government spending, the head of the Bank of Canada painted a grim picture for 2023, warning Canadians the coming economic turmoil will not “feel good.”
After hiking interest rates for the eighth time in a row on Wednesday, Bank of Canada Governor Tiff Macklem told reporters that the economy is “slowing” and will continue “to slow,” warning that growth rates for the rest of the year will be “pretty close to zero.”
Elaborating, Macklem said that nation’s economy has effectively “stalled,” and that this lack of growth “is not going to feel good” for already struggling Canadians.
Decades-high inflation over the past 18 months has led the Bank of Canada to hike interest rates to the highest level since 1991 – the current rate is now 4.5 percent.
While most economists agree that raising interest rates is an effective method of combating inflation, the process also increases the financial burden of the population, most notably among homeowners with mortgages.
While inflation has hit on a global scale, in Canada, the Liberal government under Prime
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