By the end of the year ... 45.5% in 1981. As a result, the Canadian CPI hit an all-time high of 12.9%. Paul Volcker wanted to tame inflation and the Bank of Canada followed suit. The prime rate ...

And when the Bank of Canada cut rates for the first time in four years on June 5, 2024, the banks responded by cutting the prime rate to 6.95%. The prime rate is always higher than the overnight rate.

The prime rate in Canada, as of Jan. 29, 2025, is 5.20%. When you’re considering ... The prime rate can potentially change eight times in a year, in line with the Bank of Canada’s eight ...