Should we just wait out a decade-long deleveraging process in the crisis economies? Should we lower our expectations? Or should we control our destiny by building on our strengths in the new global environment? We can improve Canada’s low productivity growth and sharpen our focus on emerging markets. And we can continue to invest in our greatest resource – our people.
Against this backdrop, next week’s Monetary Policy Report will provide a full update on the Bank’s outlook for economic growth and inflation in Canada. It will take into account the impact of the uncertainty that I have been discussing today. The Bank will take whatever action is appropriate to achieve the 2 per cent CPI inflation target over the medium term.