MNI BRIEF: NDP Wants BOC Job Mandate, Not Firing Macklem

The Canadian NDP opposition leader said Tuesday the BOC's mandate should be re-opened to add more language around seeking full employment, while declining to join Conservative calls to fire Governor Tiff Macklem.

Jagmeet Singh, whose party's support is key for keeping Justin Trudeau's Liberal government in power, told reporters the Bank's expected rate hike Wednesday will contribute to a needless recession and big job losses, following up on other criticisms made last week in Parliament. The Bank's agreement with the government to keep inflation at 2% was adjusted in December to add a phrase about boosting employment but only when its main goal was well in hand.

The path of rate hikes "doesn't make sense to me" because "people are going to hurt," Singh said. “We don’t agree with the Conservatives on firing the Governor of the Bank of Canada, we believe in the independence of the institution,” he said in response to a question from MNI. The Bank will keep hiking even if recession is the price, an adviser says. (See: MNI INTERVIEW: BOC To Follow Through Even If Recession- Tombe)