Financial Sector Policy Branch

Financial Sector Policy: A Key Responsibility of the Minister of Finance

• Minister of Finance is the steward of Canada's financial system
  • Financial sector operates under shared federal and provincial jurisdiction
  • Federal government has jurisdiction over banks and other federal financial institutions, currency and payments systems, and other targeted areas (e.g., federally regulated pensions, anti-money laundering and anti-terrorist financing framework)
• Minister of Finance is responsible for the overall management of the financial affairs of the Government of Canada, including overseeing the Government's treasury function to support fiscal policies and the borrowing and other financial activities of Crown corporations

Role of the Branch

• The Financial Sector Policy Branch (FSPB) advises the Minister on:
  • Canada's financial sector and the regulation of federal financial institutions
  • Issues related to the financial sector policy framework
  • Issues related to domestic and international financial stability
  • Effective management of the Government's financial assets and liabilities
• This advice is:
  • Guided by four overarching principles – stability, integrity, efficiency, utility
  • Informed by agencies under the Minister's purview:
    • Office of the Superintendent of Financial Institutions (OSFI)
    • Canada Deposit Insurance Corporation (CDIC)
    • Bank of Canada (BoC)
    • Financial Consumer Agency of Canada (FCAC)
    • Financial Transactions and Reports Analysis Centre (FINTRAC)

Organizational Structure

Assistant Deputy Minister: Leah Anderson

Associate Assistant Deputy Minister: Soren Halverson

Financial Stability and Capital Markets Division

• Director General: Robert Sample

Financial Crime and Security Division

• Director General: Lynn Hemmings

Financial Services Division

• Director General: Julien Brazeau

Financial Institutions Division

• Director General: Richard Bilodeau

Funds Management Division

• Director General: Nicolas Moreau

Total Staff = 125 (Approximately)

The Five Corners of FSPB

Financial Institutions

• Trade Relations
• Framework Policy
• Strategic Initiatives

Financial Crime and Security

• Pensions Policy
• Financial Crimes Policy
• Financial Crimes Governance and Operations

Financial Stability and Capital Markets

• Financial Sector Analysis
• Markets & Securities
• Financial Stability
• Housing Finance

Funds Management

• Debt Management
• Reserves Management
• Crown Corporations and Currency

Financial Services

• Financial Services Innovation
• Consumer Affairs
• Payments Policy

Current Policy Priorities – Stability & Integrity

• Reviewing and strengthening housing finance framework
• Taking further measures to tackle financial crime
• Better identifying and responding to national security risks
• Assessing need for targeted policy/regulatory responses to stable coins
• Safeguarding pension plan sustainability and retirement security
• Enhancing systemic risk oversight and resolution
• Deepening work to bolster cyber resiliency of financial sector
• Developing policy options on earthquake risk
• Conducting prudent debt and reserves management

Current Policy Priorities – Efficiency & Utility

• Implementing retail payments oversight framework
• Developing consumer-directed banking framework
• Conducting work on data rights and protections in financial sector
• Developing sustainable finance strategy
• Strengthening protections for consumers of bank products
• Implementing outcomes of financial sector legislative renewal
• Supporting payments modernization agenda
• Reviewing competition in financial product markets
• Advancing financial services trade while safeguarding regulatory framework