Canada finance minister defends Bank of Canada amid opposition attacks
Reuters
Published May 20, 2022 10:38AM ET
Updated May 20, 2022 11:48AM ET
By Julie Gordon and Steve Scherer
OTTAWA (Reuters) -Canadian Finance Minister Chrystia Freeland on Friday defended the central bank as inflation spikes to a three-decade high and the frontrunner to take over the opposition Conservative Party pledges to fire the Bank of Canada governor if elected.
"It is clear to us all that we are living through a period of global volatility. We have COVID. We have the Russian invasion of Ukraine. We have China's zero-COVID policy," Freeland told reporters by teleconference from Munich, Germany after a G7 meeting.
"In this environment, responsible political leadership means reinforcing for Canadians, and for the world, our government's very clear commitment to the independence of the Bank of Canada and our confidence in the Bank of Canada."
Pierre Poilievre, who leads in all polls ahead of a September vote to elect a new Conservative leader, has said he would turf Bank of Canada Governor Tiff Macklem "to get inflation under control" if he becomes prime minister.
Inflation inched up to 6.8% in April, with food price growth hitting a four decade high, upping the pressure on the central bank to hike interest rates quickly to avoid an inflationary spiral.
Separately, Canada said on Friday it was imposing additional sanctions on Russian oligarchs and banning trade in certain luxury goods with Russia in response to Moscow's invasion of Ukraine.
Freeland also told reporters the G7 had broadly discussed "further strengthening" sanctions against Russia, including the question of an oil and gas embargo.
"We absolutely recognize that the economic challenge of an oil and gas embargo is much greater for our European partners," she said, adding the group had discussed ways Canada could support Europe on energy security.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.