The Bank of Canada (BoC) Governor Stephen Poloz said before the House of Commons Standing Committee on Finance on Tuesday that "the current level of monetary stimulus remains appropriate".

He also that financial stability risks such as household imbalances remain a concern to Canadian economy. Poloz added that the economy in Canada "faces significant headwinds and continued monetary policy stimulus is needed to offset them in order to achieve our inflation objective".

The BoC governor pointed out that Canadian export sector is less robust than in previous cycles.

Poloz said that the "U.S. economy is gaining traction, particularly in sectors that are beneficial to Canada's exports".