Ottawa-Canada’s Finance Minister Chrystia Freeland defends the central bank on Friday as inflation soars to 30-year highs and promises to dismiss Bank of Canada Governor as the leading candidate to succeed the opposition Conservative Party bottom.
“It is clear to all of us that we are living in an era of global change. There is a COVID. There is Russia’s invasion of Ukraine. We have China’s Zero Corona policy,” Freeland said. Told reporters at a telephone conference from Munich, Germany, after the G7 meeting.
“In this environment, responsible political leadership means strengthening the government’s clear commitment to the independence and trust of the Bank of Canada for Canadians and the world.”
Pierre Poirievre, who will take the lead in all votes prior to the September vote to elect a new Conservative leader, will say Tiff McClem, Bank of Canada Governor, if he becomes prime minister. He said he would mow the lawn “to curb inflation.”
Inflation rose to 6.8% in April, food prices rose to their highest level in 40 years, increasing pressure on central banks to quickly raise interest rates to avoid the inflation spiral.
Separately, Canada said on Friday that it would impose additional sanctions on Russia’s emerging conglomerates in response to Moscow’s invasion of Ukraine, banning certain luxury goods trade with Russia.
Freeland also told reporters that the G7 had broadly discussed “further strengthening” sanctions on Russia, including the issue of oil and gas embargoes.
“We are absolutely aware that the economic challenges of oil and gas embargoes are far greater for our European partners,” she said, and the group talks about how Canada can help Europe with energy security. He added that he had talked.
Julie Gordon and Steve Scheller
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