News Analysis
The Bank of Canada has restarted its “routine” purchases of short-term Treasury bills, commonly known as T-bills, reigniting debate among economists about what the move will mean for prices in 2026 and what the consequences of the last round of asset purchases are.
The central bank announced on Nov. 13 that it would restart routine purchases of Government of Canada (GoC) T-bills, which are debt securities issued by Ottawa to raise temporary funds and which typically mature within one year. The bank said it would restart this process on Dec. 16 to “restore a more balanced mix of assets on the Bank’s balance sheet.”…