Bank of Canada Maintains Overnight Rate Target at 1 per cent

The Bank of Canada left its key overnight lending rate unchanged Tuesday, where it’s been sitting for almost two years.

The last time it rose was September 8, 2010, when it was increased from .75 per cent up to 1 per cent.

The overnight rate, which banks use to help set the prime rate for their best customers, has been at or below 1 per cent since January 2009, as the North American economy dealt with the financial meltdown sparked partly by the collapse of the Lehman Brothers investment bank.

Most forecasts are calling for the Bank of Canada to keep rates steady until some time next year.