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BOC Econ Projections: Inflation Above Target Through Horizon

CANADA
  • Higher Inflation: Q4/Q4 figures revised up across the horizon, seen at 4.5% end-2022, two tenth upward revision to 2.4% end-2023 (broadly inline with analyst expectations) and in a new forecast, seen just above the inflation target at 2.1% end-2024.
  • Mixed Growth: Revised down to 3.8% 4Q22 (broadly per market as strong start to year offset further out), up two tenths to 2.9% in 4Q23 (more optimistic than 2.6% consensus) and then slowing more materially to 1.7% come 4Q24.

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