Canada's top central banker says there will be long-term economic damage from the COVID-19 pandemic as the country charts a "prolonged and bumpy" course to recovery. "The recovery will likely be prolonged and bumpy, with the potential for setbacks along the way," he said in a prepared text of his speech released by the bank. We should also see some pent-up demand giving a boost to spending," Macklem said in his speech. The central bank targets an annual inflation rate of two per cent as measured by Statistics Canada's consumer price index. "If, as we expect, supply is restored more quickly than demand, this could lead to a large gap between the two, putting a lot of downward pressure on inflation," Macklem said.

Source: CBC News June 22, 2020 15:22 UTC