The Bank of Canada announces its policy interest rate on eight predetermined dates each year, typically on Wednesdays at 9:45 a.m. Eastern Time. These scheduled announcements are the primary mechanism through which the Bank communicates changes to its target overnight rate, which directly influences borrowing costs across the economy. Understanding this schedule allows Canadians to anticipate when key decisions affecting mortgages, loans, and savings rates will be made. The Bank publishes its full annual schedule well in advance, providing clarity for financial planning.
The Purpose and Impact of Rate Announcements
The Bank of Canada's primary tool for monetary policy is setting the target for the overnight rate, also known as the policy interest rate. This rate is the interest rate at which major financial institutions borrow and lend one day funds among themselves. The Bank's Governing Council meets on each of the eight scheduled announcement dates to assess economic conditions, inflation trends, and financial stability before deciding whether to raise, lower, or maintain this target. The announced rate serves as a fundamental benchmark for interest rates throughout the Canadian financial system. When the Bank changes its policy rate, it directly influences the prime rate set by chartered banks, which is the rate those banks offer their most creditworthy customers.
The prime rate is the benchmark that commercial banks use to set interest rates for variable rate mortgages, lines of credit, and other loans. Consequently, a change in the Bank of Canada's policy rate typically leads to an equivalent change in these consumer borrowing rates. This mechanism is how monetary policy actions transmit through the economy to influence spending, investment, and inflation. The Bank's stated goal is to preserve the value of money by keeping inflation low, stable, and predictable, which in turn supports job creation and economic growth. The inflation control target and the flexible exchange rate are the two main parts of Canada's monetary policy framework, designed to make policy actions understandable and the Bank accountable to Canadians.
The Standard Annual Announcement Schedule
The Bank of Canada operates on a fixed annual schedule for its interest rate announcements, which is published the previous summer. There are exactly eight announcement dates each year, spaced approximately six to seven weeks apart. Every announcement occurs on a Wednesday at 9:45 a.m. Eastern Time. This predictability allows financial markets, businesses, and consumers to plan around these key decision points. The Bank reconfirmed the schedule for the remainder of 2026 and published the full set of dates for 2027 in July of 2026. The schedule for the release of the Business Outlook Survey and the Canadian Survey of Consumer Expectations is published at the same time.
Four of the eight annual announcements are designated as Monetary Policy Report months. These occur in January, April, July, and October. On these dates, the interest rate decision is accompanied by the release of the quarterly Monetary Policy Report, which presents the Bank's detailed economic projections and assessment of risks. The Monetary Policy Report provides the Bank's base case projection for inflation and growth in the Canadian economy. These four announcements are also followed by a press conference with the Governor and Senior Deputy Governor at approximately 10:30 a.m. ET. The announcements in the other months, such as March, June, September, and December, consist of a press release and a shorter statement from the Governing Council without a full report or press conference.
Confirmed Dates for 2026 and 2027 Announcements
The Bank of Canada has published its schedule for policy interest rate announcements through the end of 2027. For the remainder of 2026, the confirmed dates are Wednesday, October 28, 2026, and Wednesday, December 9, 2026. The October 28 announcement will include the release of the Monetary Policy Report. The full schedule for 2027 consists of eight Wednesdays throughout the year. These dates provide a clear timeline for when the Bank's Governing Council will formally review monetary policy. The Bank also published the schedule for the 2027 issues of the Business Outlook Survey and the Canadian Survey of Consumer Expectations, which are released at 11:30 a.m. ET.
The Bank of Canada publishes its full schedule of policy interest rate announcements for the coming year in advance. The schedule for 2027 was published in July of 2026. It lists eight scheduled announcement dates for that year, which always occur on Wednesdays. These announcements are made at 9:45 a.m. Eastern Time. The quarterly Monetary Policy Report is released concurrently with the interest rate announcements in January, April, July, and October of 2027.
| Month | Scheduled Date |
|---|---|
| January | Wednesday, January 27 |
| March | Wednesday, March 3 |
| April | Wednesday, April 28 |
| June | Wednesday, June 2 |
| July | Wednesday, July 21 |
| September | Wednesday, September 2 |
| October | Wednesday, October 28 |
| December | Wednesday, December 9 |
All these announcements will take place at 09:45 Eastern Time. The Monetary Policy Report will be published concurrently with the January, April, July, and October announcements in 2027. The Bank also publishes separate schedules for the release of its Business Outlook Survey, Canadian Survey of Consumer Expectations, and the annual Financial Stability Report. The scheduled date for the release of the 2027 Financial Stability Report is Tuesday, May 18, at 10:00 a.m. ET.
How Announcements Work and What is Released
At precisely 9:45 a.m. ET on each scheduled announcement date, the Bank of Canada publishes its decision. The announcement sets three key rates simultaneously. The headline number is the target for the overnight rate, which was 2.25% as of September 2026. The Bank Rate, which is the rate the Bank charges financial institutions for one day loans, is set at a quarter of a percentage point above the target overnight rate. The deposit rate, which is the rate the Bank pays financial institutions on settlement balances, is set five basis points below the target overnight rate. This system is known as the operating band for the overnight rate. The Bank Rate was historically the key interest rate but now functions as the upper limit of this operating band.
Following the announcement, particularly on Monetary Policy Report months, the Bank holds a press conference. This allows the Governor and Senior Deputy Governor to explain the rationale behind the decision and to answer questions from journalists. The Bank also publishes a summary of deliberations from its Governing Council meeting roughly two weeks after each rate decision. This document provides additional insight into the discussions that led to the policy action. In extraordinary circumstances, the Bank can call an emergency meeting to change interest rates outside the normal schedule, as it did during the onset of the COVID-19 pandemic in 2020. The Bank maintains the ability to adjust monetary policy as needed between scheduled meetings if economic conditions warrant immediate action.
Recent Rate History and the Current Economic Context
As of September 2026, the Bank of Canada has maintained its policy interest rate at 2.25% for seven consecutive scheduled announcements. The last change occurred on October 29, 2025, when the Bank lowered the target overnight rate by 25 basis points from 2.50% to 2.25%. Prior to that, the Bank had cut the rate by another 25 basis points on September 17, 2025. The period of rate holds throughout 2026 followed a period where the Bank's concern shifted from weak economic growth to monitoring upside risks to inflation, particularly from energy prices and trade tensions. At the October 2025 cut, the Bank stated that Canada's economy had contracted by 1.6% in the second quarter of 2025 and the unemployment rate was 7.1%.
The Bank's decision to hold rates steady in September 2026 was based on an assessment that the economy and inflation had evolved broadly as forecast in its July Monetary Policy Report. The Bank noted that second quarter GDP growth was 3.3%, consumer spending was solid, and housing activity showed a rebound after several weak quarters. However, it also highlighted increased upside risks to inflation due to persistently high gasoline prices and new economic uncertainty from tariffs. The unemployment rate was 6.4% in July 2026. The Bank provided no explicit forward guidance but stated it remained ready to adjust monetary policy as needed to achieve its 2% inflation target. The Bank's September 2 press release noted that CPI inflation had hovered around 3% for several months, but excluding gasoline it was 2.2% in July, with core measures near 2%.
The economic context leading to the 2026 pause included several key developments. Following the October 2025 rate cut, the economy grew by a strong 2.6% in the third quarter of 2025, though final domestic demand was flat. The Bank's October 2025 Monetary Policy Report projected growth of 1.1% in 2026 and 1.5% in 2027. In early 2026, the conflict in the Middle East pushed up oil and natural gas prices, and GDP contracted by 0.6% in the fourth quarter of 2025. CPI inflation eased to 1.8% in February 2026, but the Bank expected gasoline prices to push it higher. By April 2026, the Bank revised its inflation projections upward due to the jump in energy prices, stating it would not let higher energy prices become persistent inflation. First quarter 2026 GDP edged down by 0.1%, and housing activity declined.
Direct Effects on Borrowers and Financial Markets
The Bank of Canada's interest rate decisions have immediate and differing effects on various types of borrowers and on financial markets. For variable rate borrowers, the seven consecutive holds in 2026 have meant payment stability. The prime rate at chartered banks has been 4.45% since the October 2025 cut, so any loan payments tied directly to prime, such as on variable rate mortgages or lines of credit, have not changed. This stability provides predictability for household budgets that are sensitive to interest rate fluctuations. The direct link between the policy rate and the prime rate means any future change by the Bank will be passed through to these borrowers almost immediately, typically on the next payment date.
For fixed rate borrowers and those shopping for fixed rate mortgages, the picture is different and more closely tied to bond markets. Fixed mortgage rates are influenced more by Government of Canada bond yields than by the policy rate itself. For example, the five year Government of Canada bond yield rose from 2.73% on the day of the October 2025 rate cut to 3.42% by September 2, 2026. This movement led to increases in fixed mortgage rates offered by lenders even though the Bank's key rate was unchanged. Market commentary in September 2026 noted that borrowers were already facing higher fixed rates as a result of these bond yield movements.
The Bank's announcements also set the tone for broader financial conditions. The target overnight rate serves as the foundation for the Canadian Overnight Repo Rate Average (CORRA), which is a critical benchmark for financial contracts. Movements in the policy rate affect savings account interest rates, Guaranteed Investment Certificate (GIC) rates, and the cost of business borrowing. Financial markets closely analyze the statement language and the Monetary Policy Report for clues about future policy direction, which can cause immediate movements in the Canadian dollar and stock prices. The Bank's assessment of risks, such as the increased upside inflation risks cited in September 2026, can shift market expectations for future rate moves.
Common Misconceptions About Rate Announcements
One common misunderstanding is that the Bank of Canada directly sets mortgage rates. While the policy rate heavily influences variable and adjustable mortgage rates, fixed mortgage rates are more closely tied to Government of Canada bond yields, particularly the five year bond yield. For example, during the 2026 rate pause, the policy rate remained at 2.25%, but the five year bond yield rose from 2.73% in October 2025 to 3.42% in September 2026. This movement led to increases in fixed mortgage rates even though the Bank's key rate was unchanged. Another misconception is that the schedule is flexible. The eight annual dates are fixed and published well in advance, though the Bank retains the ability to call unscheduled emergency meetings during crises, a power it has used in the past.
Some Canadians may also believe that a rate announcement always results in a change. In reality, the Bank often holds the rate steady for multiple meetings in a row, as seen throughout 2026 with seven consecutive holds. The decision is the result of a complex evaluation of current data and future risks. The Bank weighs factors such as GDP growth, employment figures, CPI inflation, core inflation measures, housing market activity, and global economic developments. Finally, it is incorrect to assume the Bank Rate is the primary policy tool. While historically significant, the Bank Rate now functions as the upper limit of the operating band, with the target overnight rate being the main policy instrument communicated to the public and used to guide monetary conditions.
A further misconception is that the Bank's decisions are intended to directly control the housing market. While rate changes significantly affect housing affordability and activity, the Bank's mandate is to maintain price stability by targeting 2% inflation. Housing market effects are a consequence of monetary policy, not its primary goal. Additionally, some may think the Bank's projections in the Monetary Policy Report are guarantees. These are base case forecasts contingent on numerous assumptions and are regularly revised as new data arrives, such as the upward revision to inflation projections in April 2026 due to energy prices. The Bank explicitly notes numerous sources of uncertainty around its forecasts.
Related Publications and Data Releases
Beyond the interest rate announcements, the Bank of Canada publishes several key reports on a regular schedule. The quarterly Monetary Policy Report is the most comprehensive, providing the Bank's base case projection for inflation and economic growth. The Bank also releases the Business Outlook Survey and the Canadian Survey of Consumer Expectations, which offer insights into business sentiment and household expectations. These survey releases occur at 11:30 a.m. ET on their scheduled dates.
Furthermore, the Bank publishes an annual Financial Stability Report, which assesses vulnerabilities in the Canadian financial system. The schedule for these companion publications is also released in advance. For 2027, the Financial Stability Report is scheduled for release on Tuesday, May 18, at 10:00 a.m. ET. These documents provide crucial context for the interest rate decisions and are used by the Governing Council in its deliberations. Canadians can access all these publications free of charge on the Bank of Canada's official website. Monitoring these releases can provide a deeper understanding of the economic reasoning behind monetary policy actions and the factors influencing upcoming rate decisions.
The Bank also maintains and publishes the Canadian Overnight Repo Rate Average (CORRA), which is a measure of the cost of overnight general collateral funding in Canadian dollars using Government of Canada securities as collateral. This data is published daily on the Bank's website. Historical data for the policy interest rate and other key financial statistics are also archived and publicly available. The publication of the summary of deliberations, typically two weeks after a rate decision, offers a unique window into the discussions of the Governing Council, detailing the key issues debated and the factors that were most important in reaching the final decision.
Frequently asked questions
When is the next Bank of Canada interest rate announcement?
The next scheduled Bank of Canada interest rate announcement is on Wednesday, October 28, 2026, at 9:45 a.m. Eastern Time. This announcement will coincide with the release of the quarterly Monetary Policy Report. The following scheduled announcement after that is on Wednesday, December 9, 2026. All announcements for 2026 and 2027 have been pre published by the Bank.
How many times a year does the Bank of Canada announce interest rates?
The Bank of Canada makes interest rate announcements on eight fixed dates each year. These dates are predetermined and published annually, typically in the summer for the following year. The announcements typically occur every six to seven weeks, always on a Wednesday at 9:45 a.m. ET. The Bank can also hold emergency meetings outside this schedule if needed.
What is released alongside the interest rate announcement?
Every announcement includes the setting of the target overnight rate, the Bank Rate, and the deposit rate. On four specific dates per year in January, April, July, and October, the announcement is accompanied by the full Monetary Policy Report and a press conference with the Governor. Other announcements consist of a press release and a shorter policy statement. A summary of deliberations is published about two weeks later.
Can the Bank of Canada change rates outside the schedule?
Yes, the Bank of Canada can hold emergency meetings to change interest rates outside its normal eight date schedule. This power is used in response to significant economic shocks that require immediate policy action. An example was the unscheduled rate cut in March 2020 at the onset of the COVID-19 pandemic. Such actions are rare and underscore the Bank's commitment to respond to extreme circumstances.
What is the current Bank of Canada policy interest rate?
The current Bank of Canada policy interest rate is 2.25 percent. This is the target for the overnight rate, which has been in place since October 29, 2025, following a 25 basis point cut from 2.50 percent. As of September 2026, the Bank has maintained this rate through seven consecutive scheduled announcements, indicating a prolonged period of monetary policy stability. The rate is announced eight times per year on predetermined dates, with the most recent hold occurring on September 2, 2026. The Bank's Governing Council judges this level appropriate to balance inflation risks and economic growth.
How does the Bank of Canada rate affect mortgage rates?
The Bank of Canada policy rate directly affects variable and adjustable mortgage rates by setting the benchmark for the prime rate that chartered banks use. When the policy rate changes, these mortgage payments change accordingly. In contrast, fixed mortgage rates are more influenced by bond market yields, such as the five year Government of Canada bond yield, and can move independently. For example, from October 2025 to September 2026, the policy rate was steady at 2.25 percent, but the bond yield rose, leading to higher fixed mortgage rates. Therefore, the impact on a borrower depends on whether they have a variable or fixed rate mortgage.
Sources and further reading
- Bank of Canada publishes its 2027 schedule for policy ... bankofcanada.ca
- Bank of Canada Interest Rate Schedule 2026 myperch.io
- Bank of Canada Policy Interest Rate Schedule 2026 nesto.ca
- 7 Holds in a Row: A Timeline of the Bank of Canada's Rate ... blog.remax.ca
- When is the next Bank of Canada rate announcement? equalsmoney.com
This article explains how things work and is not financial, tax or legal advice. Rules, limits and rates change, so check the current figures with the Canada Revenue Agency, your province or your financial institution before you act.