- Ottawa's latest measures to cool the real estate market will impact Canada's economic growth outlook as the number of homes changing hands slows in wake of the new rules, the Bank of Canada said Wednesday.
- The central bank says it has cut its growth forecast for this year and 2017, "due in large part to slower near-term housing resale activity," and also a weaker-than-forecast export activity.
- The new rules are expected to shave 0.3 percentage points off real GDP by the end of 2018, as housing has been a pillar of economic strength for Canada.
- The bank held its key policy rate at 0.5 per cent, saying inflation will settle near its two per cent target early next year.
Source: BNN
