The Bank of Canada may cut rates two more times in 2025, totalling 50 basis points.

These cuts could reduce the key lending rate to 2.25% by December 2025.

Forecasted cuts respond to economic slack despite recent inflation upticks and global trade tensions.

Variable-rate mortgage holders may see lower payments or more principal repaid if cuts occur.

Fixed-rate mortgage holders may see delayed effects, tied to five-year bond yield movements.