Rising interest rates impact Surrey businesses, spending, Surrey Board of Trade says

People have more money to spend when paying less interest, board of trade CEO notes

The Surrey Board of Trade is warning that interest rate hikes will take their toll on business investment and consumer spending.

Canada’s central bank — for a third time in 2018 — raised its benchmarch interest rate on Oct. 24 by a quarter point to 1.75 per cent.

“Surrey is comprised primarily of small and medium-sized businesses,” said Anita Huberman, CEO of the board. “The Surrey Board of Trade is concerned the interest rate increase will impact business investments and consumer spending. We remain concerned about slowing growth as we look ahead in 2018 and into 2019, especially in light of trade protectionist strategies, USMCA uncertainty and continued regulatory burden on companies.”

Huberman noted that people have more money to spend when they’re paying less interest, and this creates a “ripple effect” through the economy.

Businesses benefit from lower interest rates, she added, and with one-third of Surrey’s land base being agricultural, low interest rates encourage farmers to invest in equipment “and other critical investments.”

While the Bank of Canada anticipates economic growth to continue, Huberman said, the Surrey Board Trade “is not certain about this economic confidence.”



tom.zytaruk@surreynowleader.com

Like us on Facebook Follow us on Instagram  and follow Tom on Twitter

Just Posted

Over-budget bids cause delay of four Surrey school projects

Two projects have gone back out to tender, two awaiting ‘revised budget approval’ from Ministry of Education

Fees ensure patients have access to parking at SMH, FHA says

Fraser Health Authority hasn’t heard yet from city hall about pay parking at Surrey hospital

Free hospital parking a non-starter in White Rock

City considering task force to look at parking generally – Walker

Salish Secondary to host first-ever toy drive for Cloverdale Christmas Hamper

Drive hopes to boost gift donations for hamper program, which provides food, gifts to families

VIDEO: B.C. legislature clerk, sergeant at arms suspended for criminal investigation

Clerk of the House Craig James, Sergeant-at-arms Gary Lenz on administrative leave

Former NHL player and coach Dan Maloney dies at 68

Maloney coached the Toronto Maple Leafs and Winnipeg Jets

Ex-MSU president charged with lying to police about Nassar

Lou Anna Simon was charged Tuesday with lying to police during an investigation

Police aim to prevent retaliation after Hells Angel found dead under B.C. bridge

IHIT confirms Chad Wilson, 43, was the victim of a ‘targeted’ homicide

Otter makes a snack out of koi fish in Vancouver Chinese garden

Staff say the otter has eaten at least five fish

Police looking into two more incidents at private Toronto all-boys’ school

Police and the school have said two of the prior incidents involved an alleged sexual assault

B.C. lumber mills struggle with shortage of logs, price slump

Signs of recovery after U.S. market swings, industry executive says

25% of Canadians still won’t say they use pot, survey says

Statistics Canada poll says Canadians on average were 18.9 years old when they first tried pot.

Canucks’ 50/50 jackpot expected to surpass $1 million

The guaranteed prize for one lucky winner will be $500,000 minimum when Vancouver hosts LA Nov 27

Most Read