Flaherty blasted for pressuring Manulife to reverse mortgage rate cut

OTTAWA — Finance Minister Jim Flaherty is coming under fire for using his position to pressure a private sector mortgage lender to raise its interest rates, an action that will increase borrowing costs for Canadians.

“That’s Banana Republic behaviour,” said NDP Leader Tom Mulcair, who added the minister has no business interfering with the free marketplace.

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Weak economy? Not a problem for balancing budget by 2015, says Flaherty

OTTAWA – The federal government will take a “significant” hit from Canada’s weaker economic growth prospects, but will still be able to balance the books in time for the next election in 2015, Finance Minister Jim Flaherty said Friday.

Flaherty delivered the message after meeting with about a dozen private sector economists who travelled to Ottawa to warn that 2013 will be weaker than expected.

Read more: http://tinyurl.com/budns5p