forecast ( 2023q1 ) - 2 1 % – 3 % inflation control range cpi inflation sources : statistics canada and bank of canada calculations, estimates and projections conclusion it ’ s time for me to conclude. i ’ ve given you a picture of how monetary policy works — how our interest rate increases work their way through the economy to slow borrowing, dampen demand and ultimately lower both imported and domestic inflation. we know that the monetary policy tightening we ’ ve undertaken is hard on many canadians. unfortunately, there is no easy way to restore price stability. monetary policy doesn ’ t work as quickly or painlessly as everyone would like, but it works. and it will be worth it when canadians can once again count on low, stable and predictable inflation. as always, we will be clear and transparent. i want canadians to understand what we ’ re doing to fight inflation, how it works and why it matters. i also want to be clear about the uncertainties we face — the lingering effects of a global pandemic, a war in europe and broader geopolitical tensions. there are risks to our projection. the biggest is that global energy prices could increase, pushing inflation up around the world. we ’ re also concerned that inflation expectations could remain elevated and increases in labour costs could persist. if these upside risks materialize, we are prepared to raise interest rates further to return inflation to the 2 % target. there are downside risks to our projection as well. global growth could slow more sharply than we expect, and financial vulnerabilities could amplify the slowdown. canadian households could pull back more than we expect as they adjust to higher interest rates. overall, we view the risks around our inflation forecast as balanced. but with inflation still well above our target, we continue to be more concerned about the upside risks. - 14 - inflation will fall in the months ahead, and we will be watching for further evidence that demand and supply are rebalancing so that inflation heads all the way back to the 2 % target. we will continue to explain what we are seeing, what we are doing and what canadians can expect from us. we are resolute in our commitment to restoring price stability for canadians. thank you.

stephen s poloz : opening statement before the house of commons standing committee on finance opening statement by mr stephen s poloz, governor of the bank of canada, before the house of commons standing committee on finance, ottawa, ontario, 6 june 2013. * * * introduction the bank of canada ’ s commitment to canadians is to promote the economic and financial welfare of our country. one way we do this is to communicate our objectives openly and effectively and stand accountable for our actions. so i thank you for the opportunity to come before you this morning to share the bank ’ s perspective. kindly note that today is day four on the job for me – i trust you will forgive me if there are any details i haven ’ t yet become familiar with. that said, i look forward to hearing your views and taking your questions, and i will answer them to the best of my ability. the common denominator that ties together all of the bank ’ s work is confidence. through our actions and our words, what the bank of canada delivers is confidence in our currency ; confidence in our role as fiscal agent for the federal government ; confidence in our banking system ; and confidence in the value of money. this is familiar ground to all of us here today. i don ’ t propose to delve into the details of the bank ’ s functions. rather, i will discuss the current context in which we are operating and how that is influencing the bank ’ s work of delivering confidence. in short : what are the challenges that we are facing? and, how do they affect the business of the bank? today's global context it is now almost six years since the start of the global financial crisis. given the near - collapse of the global financial system and the dramatic plunge in global demand, it ’ s perhaps no surprise that we haven ’ t yet returned to normal economic conditions. the global economy continues to struggle. most advanced economies are still facing credit stresses and record - low interest rates. many central banks continue to use unconventional means to provide stimulus, and governments are doing everything they can to manage their respective debt situations. clearly, the global economy is still in recovery. global economic activity is expected to grow modestly this year before strengthening over the following two years. but this is not a recovery in the usual sense. it ’ s more like a postwar reconstruction. it will require sustained and focused efforts to rebuild global economic potential. allow me to talk about how, in this context, the bank of canada