By Adam Bernards
TORONTO (MaceNews) – Recent data out of Canada points to a country in sound economic shape, but risks both global and domestic are always just around the corner, according to Bank of Canada Governor Stephen Poloz.
“Inflation is on target, and unemployment rates are good right now,” Poloz said Thursday during a fireside chat with Ontario Securities Commission Chair and CEO Maureen Jensen. “But you never know where the next big risk is going to come from.”
Poloz pointed to Canada’s overall positive recovery following the financial collapse in 2008, noting however, that there is still some unfinished business in getting the country fully back on track, in particular the oil patch in Alberta.
“It wasn’t a straight path forward through a tough period globally, but monetary conditions are about right in Canada.”
Despite his positive view on the Canadian economy, global developments, including trade tensions between the United States and China, and the yet to be formally implemented new NAFTA trade deal, create a great deal of uncertainty.
“Life is always uncertain,” he said. “But my goodness is there a lot of uncertainty out there right now.”
“Trade is going through a period of deglobalization right now. It’s definitely shrinking, and it’s having a nearly universal effect across the globe.”
Poloz also spoke to the need for more efficient inter-province trade policies, posing the question: If we can work so hard on a trade deal with the U.S., why can’t we do the same between our own provinces?