BoC rate decision: how the Bank of Canada moves the Canadian dollar

The BoC rate decision is the moment the Bank of Canada sets its policy interest rate, the target for the overnight rate that Canadian borrowing and saving are built on. It is the biggest scheduled event for the Canadian dollar. The loonie often moves more on what the Bank says about the next meetings than on the rate itself, and on a day when oil swings hard the decision can be drowned out.

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By Mike. Explanation updated 2 Oct 2026; the dates and moves below update with the research.

BoC rate decision in short

Next release: Wednesday, 28 October 2026At the usual time, see below. The exact moment appears here in the week itself.
Published by: Bank of Canada
When: Eight times a year, on fixed Wednesdays set well in advance, at 9:45 in the morning Ottawa time. That is 15:45 in Amsterdam for most of the year, and 14:45 in the few weeks when Canada and Europe have changed their clocks on different dates, which can include the late October decision. The press conference follows 45 minutes later, or an hour later when the Monetary Policy Report comes out.
Currency: Canadian dollar (CAD)
Impact: High: one of the releases that can move the currency on its own
What is decided: The target for the overnight rate, called the policy interest rate
Who decides: Governing Council of the Bank of Canada, by consensus
Target: 2% inflation, the midpoint of a 1 to 3% range
Comes with: A press release, a press conference, and in January, April, July and October the Monetary Policy Report

What the BoC rate decision contains

The decision comes as a press release that sets the target for the overnight rate and explains the factors behind it. A press conference follows every decision, opened by a statement from the Governor and the Senior Deputy Governor.

Four times a year, in January, April, July and October, the decision comes with the Monetary Policy Report. That report holds the Bank's projections for Canada and the world and the main risks around them, so those are the meetings where the outlook is most likely to shift.

About two weeks after each decision, the Bank publishes a summary of Governing Council's deliberations. It is the Bank's own account of how the decision was reached.

Why the Bank of Canada moves the Canadian dollar

A higher policy rate makes holding Canadian dollars pay more, which draws money in. The loonie is quoted against the US dollar first, so the gap between the Bank of Canada's rate and the Federal Reserve's matters as much as the Canadian rate on its own.

The oil price is the other half of the story. In a 2019 speech the Bank put commodities at about 45% of Canada's exports, and it said that major moves in the dollar are largely driven by commodity prices and by the gap between interest rates.

The Bank of Canada has no target for the dollar. It has said that a flexible exchange rate works best when market conditions set it.

How to read a BoC decision

Start with what was priced the day before. A cut that was fully expected and comes with words that sound like the last one can lift the loonie, because the market hears that the easing is coming to an end.

Then read the press release on inflation against the 2% target, and above all on the measures of core inflation, which the Bank says show the underlying trend. The lines on jobs and growth tell you how much spare room the Bank sees in the economy.

The press conference often decides the move of the day, so the first reaction at 9:45 is not always the one that lasts. On a day when crude oil or US data move hard, the decision can be drowned out.

What the Canadian dollar did on the last release days

Our calendar keeps the exact time of each release since 16 September 2026. The first BoC rate decision after that date will show here with the Canadian dollar's move around it.

For scale: on an ordinary day the Canadian dollar moves 0.16% against the basket from one London opening to the next, either way, on average over the 250 trading days since 14 Oct 2025.

The forecast, the figure itself and what it changed in our view of the currency are in the app, next to the research.

Questions about the BoC rate decision

What time is the BoC rate decision?

At 9:45 in the morning Ottawa time. In Amsterdam that is 15:45 for most of the year and 14:45 in the weeks when Canada and Europe change their clocks on different dates. The press conference starts 45 minutes to an hour later.

How often does the Bank of Canada announce interest rates?

Eight times a year, on fixed dates published well in advance. Four of them, in January, April, July and October, come with the Monetary Policy Report.

What is the Bank of Canada's inflation target?

2%, the midpoint of a 1 to 3% control range. The target is agreed with the federal government and reviewed every five years.

Why does the oil price move the Canadian dollar?

Canada exports a lot of commodities, energy among them, so a higher oil price raises what the country earns abroad. The Bank of Canada itself has said that commodity prices and the gap between interest rates drive most of the big moves in the dollar.

Does the Bank of Canada vote on rates?

It publishes no vote. Governing Council reaches its decision by consensus, and since 2023 the Bank publishes a summary of the deliberations about two weeks later, which shows the range of views without naming who held them.