This was an important call because it  1  The Bank estimates that the neutral rate of interest (nominal) is between 2.5 and 3.5 per cent. For more details, see X. S. Chen and J. Dorich, “The Neutral Rate in Canada: 2018 Estimates,” Bank of Canada Staff Analytical Note No. 2018-22 (July 2018).
-3lent support to our view that July was the right time to raise interest rates by 25 basis points. The GDP data released last week by Statistics Canada show that we were right on the money; the economy grew at an annual pace of 2.9 per cent between April and June, twice the pace we saw earlier this year.