"We did raise rates by a quarter of a percent last week and we will, watching what goes on in the economy, reduce the amount of monetary stimulus in place over the course of this year," Dodge told reporters after the release of the bank's spring monetary policy report.
"I can't tell you at what rate we'll do that, that will depend on economic events as they occur," Dodge said.
In its semi-annual Monetary Policy Report, the central bank increased sharply its growth projections for the first half of this year to 3.5 to 4.5 per cent, from a forecast of one to two per cent made in February.
The central bank said growth could be even stronger, given the amount of stimulus already in place, but that there were still risks on the downside. The economy's strength will be have to closely watched as it achieves a full head of steam to in order to keep inflation in check.
