Lending rate unchanged

Published September 6, 2007

OTTAWA, Sept 5: The Bank of Canada held its key lending rate at 4.50 per cent on Wednesday, noting economic growth outside North America seemed “slightly stronger than anticipated,” despite a US housing crunch.

“Near-term economic prospects for the US are weaker than expected,” the central bank said in a statement of Canada’s biggest trading partner.

Overall, the result means “weaker demand for Canadian exports than had been expected.”—AFP