The Bank of Canada raised its benchmark interest rate by 25 basis points to 1.25 percent Wednesday, pointing to sustained growth in the G7 economy and inflation that is closer to the country's target.

For 2018, the central bank put GDP growth at 2.2 percent, slowing to 1.6 percent in 2019 -- a slower pace than the estimated 3.0 percent growth expected for 2017, the bank said in a statement.

Source: AFP