PrintBank of Canada Seen Hiking Rates In March 2027, Earlier Than Previously Seen, By Participants In Its Own Survey
BY MT Newswires | ECONOMIC | 11:02 AM EDT11:02 AM EDT, 05/11/2026 (MT Newswires) -- The Bank of Canada is seen increasing its policy rate in March 2027, according to findings in its own Q1 Market Participants Survey (MPS) released Monday.
The MPS showed that a median of 28 financial participants expect the policy rate to rise by 25bps to 2.50% in March 2027. The Q4 2025 MPS had predicted a 25bps rate hike in Q2 2027.
Among other findings, a median of market participants forecast the consumer price index to be 2.6% at the end of the year and 2.1% at the end of 2027. The Q4 2025 MPS had projected CPI at 2.1% at the end of this year, as well as 12 months later.
The Q1 MPS also showed the median response saw gross domestic product growth at 1.6% this year and at 1.9% in 2027. Both are unchanged from the previous survey.
The survey was conducted from March 25 to April 1.
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