Big Banks Divided on Bank of Canada Rate Cuts
- ericlyle
- Mar 25
- 1 min read
The big banks are split on how much the Bank of Canada (BoC) will cut interest rates in 2024 and beyond. While most expect the overnight rate to fall to 2.25% or even 2.00%, Scotiabank stands apart—predicting an early stop to cuts, holding rates at 2.75% through 2026.
This divergence highlights the uncertainty in the market. Inflation trends, economic growth, and global conditions will all play a role in shaping future rate decisions. For homebuyers and investors, these predictions matter—lower rates could mean increased affordability, while a more cautious approach from the BoC could keep borrowing costs higher for longer.
As the year unfolds, all eyes will be on inflation data and BoC’s next moves. Will rates fall as expected, or will Scotiabank’s forecast prove right?
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