Bank of Canada interest rate
The target for the overnight rate, the Bank of Canada’s policy interest rate.
Target for the overnight rate
2.25%
Data for: October 30, 2025
Previous: 2.50% (September 18, 2025)
What it is
The overnight rate is the interest rate at which major financial institutions lend and borrow one-day funds. The Bank of Canada sets a target for it to keep inflation close to 2%.
Why it matters
Banks set their prime rate from it, so variable-rate mortgages, lines of credit and savings rates move when the Bank announces a change.
Rate changes
| Date | Target for the overnight rate |
|---|---|
| October 30, 2025 | 2.25% |
| September 18, 2025 | 2.50% |
| March 13, 2025 | 2.75% |
| January 30, 2025 | 3.00% |
| December 12, 2024 | 3.25% |
| October 24, 2024 | 3.75% |
| September 5, 2024 | 4.25% |
| July 25, 2024 | 4.50% |
| June 6, 2024 | 4.75% |
| July 13, 2023 | 5.00% |
| June 8, 2023 | 4.75% |
| January 26, 2023 | 4.50% |
| December 8, 2022 | 4.25% |
| October 27, 2022 | 3.75% |
| September 8, 2022 | 3.25% |
| July 14, 2022 | 2.50% |
| June 2, 2022 | 1.50% |
| April 14, 2022 | 1.00% |
| March 3, 2022 | 0.50% |
| March 27, 2020 | 0.25% |
How to read
Latest: 2.25%
Where it comes from
Bank of Canada, Target for the overnight rate (V39079) (Valet API)
Careful
Information, not advice
What to do
Compare with the related indicators
Reading the bank of canada interest rate figure
What the latest bank of canada interest rate reading says
The most recent value on this page is 2.25%, for October 30, 2025. Against the previous reading of 2.50%, that is −0.25% — a move down. On the eight scheduled announcement dates each year is how often Bank of Canada, Target for the overnight rate (V39079) (Valet API) publishes it, so a single reading is a snapshot and not a trend. The 20 observations in the table above, from March 27, 2020 onwards, are what gives the figure context.
Where the bank of canada interest rate figure sits in its own history
Across the 20 readings loaded here, the series moved between 0.25% and 5.00%. The latest value sits inside that range, so nothing in this window is exceptional. A window this short cannot show a cycle. It shows the direction of travel and the size of the usual swing, which is enough to tell a normal move from an unusual one, and no more than that.
Who sets the bank of canada interest rate and who it affects in Canada
Bank of Canada, Target for the overnight rate (V39079) (Valet API) publishes the bank of canada interest rate series, and the page links the exact dataset and its licence below. Nothing here is a second-hand copy: the figure above is read from that source and shown with the date the source gave it. People reach this page searching for "bank of canada interest rate", and the honest answer is the published figure plus its date. A national figure is an average: your own rate, bill or salary in Canada will sit above or below it.
Why the bank of canada interest rate table only shows some dates
This is a policy rate, so the table lists the dates on which it changed, not every day. Between two rows the rate stayed at the earlier value, which is why 2.25% can hold for months.
Glossary
Policy rate
The interest rate a central bank sets to steer the economy, and the floor under most other rates in that currency. It moves only when the rate-setting committee decides, so its history is a series of steps rather than a continuous line.
Basis point
One hundredth of a percentage point. Central banks and markets talk in basis points because "a 0.25 point cut" and "a 25 basis point cut" are the same thing, and the second wording leaves no room for doubt.
Real rate
An interest rate after inflation is taken out, roughly the quoted rate minus the inflation rate. A savings account paying less than inflation has a negative real rate, which means the money loses purchasing power.
Revision
A later correction of a published figure, as the statistics office receives more complete data. Values marked provisional or estimated are the ones most likely to change, which is why the page keeps the source flag.
National average
A figure averaged over a whole country, and therefore not a quote for you. Your own mortgage rate, salary or grocery bill depends on your region, your lender or your shop and will sit above or below the average.
Year-on-year inflation
The change in a price index against the same month a year earlier. It can fall while prices are still rising, because it measures the speed of the increase, not the level of prices.
Yield
The annual return an investor earns by lending money through a bond, expressed as a percentage of its price. Price and yield move in opposite directions: when a bond gets cheaper, its yield rises.
Source: Bank of Canada, Target for the overnight rate (V39079) (Valet API)
Licence: Bank of Canada terms of use: free use with attribution
Update frequency: On the eight scheduled announcement dates each year
Information only, not financial advice. Figures come from the official source shown and may be revised.