School of Policy Studies

School of Policy Studies
School of Policy Studies

Trudeau opts to replace Bank of Canada Governor Poloz despite COVID-19 economic crisis

April 10, 2020

Published by The Globe and Mail
, Robert Fife and David Parkinson with comments by Don Drummond, School of Policy Studies, Queen's University

Bank of Canada Governor Stephen Poloz would have stayed on beyond his soon-to-expire term to help manage the long-term economic fallout from the COVID-19 pandemic, but the Liberal government never asked him, sources say.

Mr. Poloz, who turns 65 in October, announced late last year that he wouldn’t seek a second term when his current seven-year mandate ends on June 2.

In recent weeks, the central bank launched a flurry of measures as the Canadian economy plunged into recession, with shuttered businesses and mass unemployment, caused by the spread of the novel coronavirus. However, there was no indication that the government wanted Mr. Poloz to extend his stay, according to sources.

A confidant of Mr. Poloz told The Globe and Mail that the governor is a public servant at heart and he would have remained at the helm of the central bank had Ottawa asked him. The Globe is not revealing the names of the confidant and other sources because they were not authorized to speak publicly about sensitive discussions involving Mr. Poloz.

Mr. Poloz reiterated in a press conference in mid-March that he would not stay on past the end of his term.

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