We anticipate only a modest pick-up in the growth rates of exports and business investment, which will be more than offset by the impact of an outright decline in residential investment and slower consumption growth. After growing by 1.7% this year, GDP growth should slow to 1.5% in 2014 and 2015. Under these circumstances, the Bank of Canada’s next move will be to introduce an easing bias, possibly followed by an interest rate cut at some point.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services