TORonTO One of the countrys most prominent chief economists predicts the Canadian dollar isnt going anywher fast this year.

Doug Porter, head economist at the Bank of Montreal, said Thursday he expects the loonie will remain near parity with the U.S. dollar for most of 2013.

And the weakness will persist, with the dollar falling to near 90 cents US over the next five years, he added.

The loonie has been coasting below parity for months, last inching above the benchmark level on Feb. 7. It closed ahead 0.06 of a cent to 97.47 cents US on Thursday.

Over the past six months, the loonie has dropped more than five per cent, Porter said.

There are a number of factors at play with the loonies slide, ranging from generalized U.S. dollar firming, to softer commodity prices, to a widening trade gap, to a less hawkish Bank of Canada, he added.

On Wednesday, the Bank of Canada sharply downgraded its expectations for economic growth in the first half of this year, but kept from injecting more stimulus into the economy because it remains optimistic for the longer term.

Some economists had urged the bank to back away from its tightening bias that still points to higher rates in the future as a way to further depress the dollar and boost exports to foreign markets.

BMOs head of commercial banking, Steve Murphy, encouraged businesses to take advantage of a loonie close to parity with the U.S. greenback before it falls further.

Now is the time for businesses to leverage the strength of the loonie, he sad.

For those businesses looking to upgrade their processes, technology, and equipment to boost their productivity, the high value of the Canadian dollar can provide them with additional purchasing power when importing this equipment and purchasing supplies and inventory from the global market.