Bank of Canada says strong C$ a drag on economy

by on September 25, 2012 7:29 pm GMT

Sept 25 |
Tue Sep 25, 2012 3:29pm EDT

(Reuters) – The strong Canadian dollar has been a
drag on the Canadian economy for the last few years, but the
Bank of Canada has no target for the currency’s level, focusing
instead on inflation targets, Bank of Canada Deputy Governor
Timothy Lane said on Tuesday.

“The Canadian dollar is a factor that we look at very
closely in relation to the economic outlook for Canada and for
the last few years has been at a level that represents a drag on
the Canadian economy, particularly with regards to our export
performance,” he said after a speech in Calgary.

“We don’t have a target for the level of the exchange rate.”