New Bank of Canada head gives consumers credit

Bank of Canada governor Stephen Poloz is praising consumers for their part in getting the country through the recession.

In his first major speech since taking over for Mark Carney earlier this month, Poloz says the central bank’s low inflation target remains “sacrosanct.” He says Canada’s relatively good economic fortune through the downturn rests largely with households that took on personal debt.

Poloz says the balance sheets of corporate Canada are healthy and now is the time, in his words, “to help to heal business confidence” and spur investment.

Poloz says he’s confident borrowers will be able to manage their debts when interest rates return to what he calls more normal levels. Poloz made the comments to the Oakville Chamber of Commerce in Burlington today.

Extra video: Poloz gives first news conference since becoming Bank of Canada governor: