To ensure a diversity of views are considered in the renewal process, we are consulting broadly with Canadians.
2017: Launch of Toward 2021
Less than a year after the 2016 agreement, the Bank hosted a workshop to discuss issues related to monetary policy frameworks with stakeholders. This discussion laid the groundwork for the 2021 renewal.
2018: Define research plan and focus
Since 1991, the Bank’s monetary policy framework has focused on targeting low and stable inflation, in the context of a flexible exchange rate. Every five years, we identify a series of research questions to inform our recommendation on the renewal of the monetary policy framework. For the 2021 renewal, we will assess alternative frameworks, the Bank’s supporting policy tool kit and the interaction of monetary policy with other public policies.
2019: Stakeholder outreach
We engaged with a broad spectrum of stakeholder groups in 2019. We held round-table discussions with business and industry associations and heard from the academic community and other central banks through conferences and workshops. We met with a dozen civil society groups in a series of meetings over the summer and fall. The Bank also conducted national focus groups in November and December.
These activities allowed us to hear directly from Canadians about the impact of the Bank’s policy framework on their daily lives and what economic issues are most important to them.
2020–21: Round-table discussions and public consultation
These consultations provided the public with an opportunity to share its views on the economy and monetary policy with the Bank. More than 8,500 Canadians from coast to coast participated in an online survey. We also engaged with over 200 Canadians to gain more insights into the understandability and relatability of alternative frameworks under consideration.
2021: Renewal agreement finalized
The Bank’s consultations and research will lead to a recommendation to the Minister of Finance. The Government of Canada and the Bank of Canada will then formalize an agreement on the framework that will serve as the guide for monetary policy until 2026.
Conferences and workshops provide the Bank with the opportunity to exchange views and explore issues related to monetary policy frameworks with experts from across Canada and around the world.
Towards the 2021 renewal of the Bank of Canada’s Monetary Policy Framework
As part of the 2021 renewal of the Bank of Canada’s inflation-control agreement with the Government of Canada, Bank staff are currently comparing several monetary policy frameworks. The primary goal of this day-long workshop is to share—and receive comments on—these comparisons.
Monetary Policy Framework Issues: Toward the 2021 Inflation-Target Renewal
Workshop webcast live on September 14, 2017, held at the Bank of Canada, to explore the role and objectives of monetary policy, monetary policy tools, transparency and communications, and lessons learned from other central banks.
Sessions of the Bank of Canada Annual Economic Conference - Webcast
David Romer (University of California, Berkeley) delivers the John Kuszczak Memorial Lecture, followed by a panel discussion on the merits of inflation targeting and its alternatives.