Southern Albertans will have to drill deeper into their wallets after the Bank of Canada announced another interest rate hike Wednesday morning.
The rate jumped .25 per cent to sit at 4.75 per cent. This is the highest it has been since 2001.
“Raising interest rates are designed to make things more expensive, that’s actually the goal, the Bank of Canada wants to slow down spending, and help control inflation, but that makes literally everything you and I do that much more expensive,” said Trevor Lewington, CEO of Economic Development Lethbridge.
Relative to the rest of Alberta, Lewington sees Lethbridge’s diverse economy showing strength but, “from an economic development perspective, [there’s a] bit of a concern that we may see a bit of a pullback in investment and growth as companies try to navigate this higher interest rate environment.”
Bank of Canada hikes interest rate