Bank of Canada Holds Interest Rate Steady at 2.25%

The Bank of Canada has held its target interest rate at 2.25% for the seventh consecutive time, maintaining stability in the financial market.

This decision was announced on September 2, 2026, and it means that borrowers with variable-rate mortgages will not see any changes in their payments. The prime rate remains at 4.45%, which is the same as before this announcement.

For those with fixed-rate mortgages, the hold has no immediate effect, but new fixed rates are influenced by bond yields, which have increased globally. This may result in higher fixed mortgage rates for borrowers when their terms end or renew.