Bank of Canada cut 2023 growth forecast, sees persistently high inflation

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Bank of Canada cut 2023 growth forecast, sees persistently high inflation
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OTTAWA, Oct 25 - The Bank of Canada on Wednesday cut its 2023 growth forecast to 1.2% from the 1.8% it predicted in July and said inflation would remain persistently high until the middle of 2024.

In its quarterly Monetary Policy Report, the central bank said it now expected inflation to return to the 2% target by end-2025. In July it had predicted mid-2025. "Energy prices no longer pull inflation down and instead add some upward pressure. Shelter price inflation will continue to be elevated," it said.

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