Allowing a Period of Price Declines Would Be ‘Painful’ for Canadians: BoC Official

Bank of Canada deputy governor Rhys Mendes listens to counsel speak during the Public Order Emergency Commission, in Ottawa, on Nov. 17, 2022. The Canadian Press/Adrian Wyld

Bank of Canada deputy governor Rhys Mendes says allowing for a period of price declines may sound tempting, but it would ultimately be more painful for Canadians.

Mendes made the comments in a speech Tuesday in Charlottetown on the importance of keeping inflation at the two percent target.