With economic uncertainty a worry for many Canadians, the latest MNP Consumer Debt Index from an Ipsos poll indicates 63 per cent of Saskatchewan and Manitoba residents have cut their spending and two-thirds are postponing major purchases. In line with those concerns, the Bank of Canada’s benchmark interest rate is holding steady 2.75 per cent, as was announced this morning (Wed), The central bank usually raises the rate to stem inflation and lower it to stimulate growth.
MNP Licensed Insolvency Trustee from Regina, Pamela Meger says the on again, off again tariffs from the U.S. is leaving households with mixed feelings about where they stand financially, considering the full impact on household budgets may not have materialized yet.
About a third of those polled in Saskatchewan and Manitoba are worried about the possibility of someone in their household losing their jobs and 49 per cent regret the amount of debt they have taken on. At the same time though, from those that feel that way, 62 per cent believe they will be able to cover their living expenses in the next year without needing more credit.