Canada’s banks are well-capitalized with robust capital ratios, have diversified business models and funding sources, and must meet rigorous liquidity standards set by federal regulators. The Canadian banking system is widely recognized for its prudent lending and risk management practices, diligent government oversight, and sensible regulation based on the core tenets of safety and soundness.

Recent surveys by the Bank of Canada and the International Monetary Fund acknowledge the strong capitalization levels of Canada’s banks and the high degree of confidence of market participants in our country’s financial system.