Twice a year, the Bank publishes its Financial System Review, or FSR – the most recent edition appeared earlier this week. My talk today will draw on that analysis and assessment.
When Paul and I appeared before your committee last October, we noted then that the outlook for growth in the Canadian economy had been revised down slightly from earlier expectations. In our latest Monetary Policy Report, which we released last Thursday, we noted that Canada's economic growth did indeed slow, but recently, inflation has been higher than expected.