CANADA: AMF Signs Memorandum of Understanding with Bank of Canada

Tuesday April 10 2018

On 9^th April 2018, The Autorité des marchés financiers (the “AMF”) and the Bank of Canada (the “Bank”) signed a Memorandum of Understanding (“MOU”). This MOU will facilitate co-operation and information exchange with respect to the monitoring of risks pertaining to domestic systemically important financial institutions (“D-SIFIs”). The MOU will also support their respective roles as Québec’s prudential regulator and resolution authority, and Canada’s lender of last resort.

The MOU formalizes the information exchange framework between the AMF and the Bank and fosters co-operation between the two agencies. This closer co-operation, designed to help avoid and mitigate the risks of a financial crisis, will create synergies for both agencies.

Expected benefits also include greater industry and consumer confidence in the stability and soundness of the Québec financial system.

Lastly, the MOU seeks to satisfy the expectations of the International Monetary Fund as part of its Financial Sector Assessment Program with respect to risk management pertaining to D-SIFIs and co-operation among federal and provincial authorities.

For additional information please click the link above.