Threats to economy on the rise: Bank of Canada
Posted June 22, 2011 7:11 pm.
This article is more than 5 years old.
TORONTO, Ont. – Threats to the economy are on the rise, according to the Bank of Canada, as concerns grow over both domestic household debt and the European sovereign crisis.
The Bank lists Canada’s own growing crisis with household debt as a key concern and one of the top risks to the economy, as it compares to what happened in both the U.S. and the U.K.
“They were forced to de-leverage, cut back their spending, rebuild their savings, which only aggravated their economic downturn and held back their recoveries,” Sal Guatierri, senior economist at BMO Capital Markets, told 680News.
The Bank’s Mark Carney is warning both banks and consumers to neither a lender nor a borrower be, or face the consequences.
