Bank of Canada Interest Rate Schedule 2025
Last Updated: April 16, 2025
CURRENT OVERNIGHT INTEREST RATE: 2.75% (last updated April 2025)
Here are what the Bank of Canada interest rate announcements are, when they happen in 2025 and their significance.
Highlights:
- The Bank of Canada is responsible for setting the key policy rate and is the primary tool that the central bank uses to control inflation. This is the starting point for setting many interest rates in the economy. The Bank of Canada sets the policy rate to influence different aspects of the Canadian economy which include the exchange rate, consumer prices, bank interest rates and more.
- The Bank of Canada follows a predetermined schedule of when they will have rate announcements.
The Bank of Canada rate announcements are predetermined and follow a set schedule for the entire year.
Bank of Canada interest rate announcement schedule for 2025:
- Wednesday, June 4, 2025 (next BoC announcement)
- Wednesday, July 30, 2025
- Wednesday, September 17, 2025
- Wednesday, October 29, 2025
- Wednesday, December 10, 2025
(Source:Â Bank of Canada)
Previous Bank of Canada interest rate announcements
- Wednesday, April 16, 2025Â (Source) [overnight interest stays at 2.75%]
- Wednesday, March 12, 2025Â (Source) [overnight interest cut to 2.75%]
- Wednesday, January 29, 2025Â (Source) [overnight interest cut to 3.00%]
- Wednesday, December 11, 2024 (Source) [overnight interest cut to 3.25%]
- Wednesday, October 23, 2024(Source) [overnight interest cut to 3.75%]
- Wednesday, September 4, 2024 (Source) [overnight interest cut to 4.25%]
- Wednesday, July 24, 2024 (Source) [overnight interest cut to 4.50%]
- Wednesday, June 5, 2024 (Source) [overnight interest cut to 4.75%]
- Wednesday, April 10, 2024 (Source) [overnight interest rate stays at 5.00%]
- Wednesday, March 6, 2024 (Source) [overnight interest rate stays at 5.00%]Â
What should I expect from a Bank of Canada announcement?
The Bank of Canada is responsible for the nation’s monetary policy which includes setting the key policy rate (target overnight rate). The announcements will let the public know if there is a change made to this rate by the Bank of Canada. The prime rate is influenced by the Bank of Canada’s rate announcement, and is what major banks and financial institutions in Canada use to set interest rates for loans and lines of credit which also include variable rate mortgages. So when the Bank of Canada rate changes, mortgage rates will change accordingly.
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What is the Canada interest rate forecast for 2025?
As of April 16, the Bank of Canada interest rate is at 2.75%. The Bank of Canada will monitor the economy closely to determine future policy.
You can read more about the Canada interest rate forecast for 2024Â here.
Bank of Canada’s historical interest rate changes from 2021 to 2025
To better determine mortgage rate forecasts and understand how interest rates change over the years, it’s important to take into account historical trends. If you plan on entering the real estate market, it’s a good idea to understand how these changes will affect the housing market.
| Date | Target (%) | Change (%) |
|---|---|---|
| April 16, 2025 | 2.75 | — |
| March 12, 2025 | 2.75 | -0.25 |
| January 29, 2025 | 3.00 | -0.25 |
| December 11, 2024 | 3.25 | -0.50 |
| October 23, 2024 | 3.75 | -0.50 |
| September 4, 2024 | 4.00 | -0.25 |
| July 24, 2024 | 4.50 | -0.25 |
| June 5, 2024 | 4.75 | -0.25 |
| April 10, 2024 | 5.00 | — |
| March 6, 2024 | 5.00 | — |
| January 24, 2024 | 5.00 | — |
| December 6, 2023 | 5.00 | — |
| October 25, 2023 | 5.00 | — |
| September 6, 2023 | 5.00 | — |
| July 12, 2023 | 5.00 | +0.25 |
| June 7, 2023 | 4.75 | +0.25 |
| April 12, 2023 | 4.50 | — |
| March 8, 2023 | 4.50 | — |
| January 25, 2023 | 4.50 | +0.25 |
| December 7, 2022 | 4.25 | +0.50 |
| October 26, 2022 | 3.75 | +0.50 |
| September 7, 2022 | 3.25 | +0.75 |
| July 13, 2022 | 2.50 | +1.00 |
| June 1, 2022 | 1.50 | +0.50 |
| April 13, 2022 | 1.00 | +0.50 |
| March 2, 2022 | 0.50 | +0.25 |
| January 26, 2022 | 0.25 | — |
| December 8, 2021 | 0.25 | — |
(source:Â Bank of Canada)
 How will this impact your monthly mortgage payments?
Our mortgage affordability calculator was designed to help you determine whether you can afford to renew your existing mortgage at current mortgage rates and explore alternative financing options like interest only loans or a readvanceable HELOC. If you have any questions or want to explore your options, please sign up for Perch today to speak with one of our expert mortgage advisors.
What is a monetary policy report?
A monetary policy report is a quarterly report of the Bank of Canada’s Governing council, and will present the Bank’s base-case projection for inflation and growth in the Canadian economy, and its assessment of risks. The main goal of monetary policy is to preserve the value of money by keeping inflation low, stable and predictable. This will give Canadians more confidence to make investment and spending decisions, encourage longer-term investment in the Canadian economy, and support sustained job creation and higher productivity. Our standard of living then improves as a result of this. The inflation-control target and the flexible exchange rate are the two main parts of Canada’s monetary policy framework. This framework helps make monetary policy actions readily understandable, and enables the Bank to demonstrate its accountability to Canadians.
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Where can I find the Bank of Canada’s monetary policy reports?
These reports are released when the Bank of Canada announces their target overnight rate.
You can find the reports on the Bank of Canada’s website.
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Why is it important to understand the Bank of Canada interest rate announcements?
If you are planning on entering the real estate market soon or are currently a homeowner, it’s important to follow along with the Bank of Canada’s rate announcements. These rate changes will have a direct impact on the housing market and housing affordability. You’ll be able to manage your expectations of the housing market better and make better decisions when it comes to your home ownership journey and budget.
For more information about Bank of Canada key terms, learn more here.
Alex Leduc
Alex Leduc is Founder and CEO at Perch. Prior to starting Perch, he worked in the real estate sector for 8 years in corporate finance, strategy and analytics roles. He is currently a Technical Advisory Committee Member of the Financial Services Regulatory Authority of Ontario (FSRA) and Co-Chair of the Canadian Lenders Association Mortgage Roundtable. Alex is a graduate of Ivey Business School from Western University and a CFA Charterholder. LinkedIn
