Letter to the Minister of Finance

The Directors met as a Special Committee on April 30, 2020 and adopted a resolution pursuant to Section 6 of the Act, appointing Mr. Tiff Macklem as Governor of the Bank of Canada effective June 3, 2020, to succeed Mr. Stephen S. Poloz.

April 30, 2020

The Hon. William Morneau, P.C. M.P.
Minister of Finance
Department of Finance Canada
90 Elgin Street
Ottawa, Ontario
K1A 0G5

Dear Minister:

I am writing on behalf of the Directors of the Bank of Canada appointed under Section 9 of the Bank of Canada Act (the “Act”). The Directors met as a Special Committee on April 30, 2020 and adopted a resolution pursuant to Section 6 of the Act, appointing Mr. Tiff Macklem as Governor of the Bank of Canada effective June 3, 2020, to succeed Mr. Stephen S. Poloz. 

The appointment takes effect with the approval of the Governor in Council (in accordance with Section 6 of the Act). For assistance in arranging for approval of this appointment by the Governor in Council, I enclose a certified copy of the resolution of the Special Committee and a draft Order-in-Council.

The recruitment and decision-making process followed by the Directors is described below. The Directors were assisted in the search process by Boyden, an executive recruitment firm. 

A Special Committee composed of the Directors appointed under Section 9 of the Act was established, and the recruitment process was formally initiated at the November 2019 Board meeting. This process included placing the notice of the recruitment search in national newspapers, in an international economic publication, in a posting on the web sites of a variety of an economic and financial organizations, the Bank and the Government.  By the end of February, an intensive “long” list of interested and qualified candidates had been developed. 

We were fortunate in having interest expressed by a variety of candidates whose depth of knowledge and experience reflects the esteem in which the position of Governor of the Bank of Canada is held.   

A Sub-Committee of the Special Committee was formed and curriculum vitae of the long list candidates were reviewed. The Sub-Committee determined a shorter list of candidates, who were interviewed by the Sub-Committee in late February.

Further consultations among Directors led to the selection of candidates who were invited to make presentations to the Special Committee in early March. Members of the Special Committee have deliberated and come to their decision to appoint Mr. Macklem.

Mr. Macklem has deep knowledge of monetary policy and financial stability issues, a proven crisis management track record, and extensive senior leadership experience that will serve the Bank and our country well as the tenth Governor. We are confident Mr. Macklem will make an outstanding contribution to promoting the economic and financial welfare of Canada, and to upholding the Bank’s exemplary reputation as a leading central bank.

Mr. Macklem brings wide ranging experience across several organizations. In his roughly 25 years at the Bank of Canada, he held a range of increasingly senior positions, including Managing Director of Canadian Economic Analysis, Advisor to the Governor, Deputy Governor and Senior Deputy Governor. Latter roles involved significant international work, including as the inaugural Chair of the Financial Stability Board’s Standing Committee for Standards Implementation.

He also served twice at the Department of Finance: in 2003-4, and again from 2007-10 as Associate Deputy Minister and Canada’s representative at the G7, G20 and Financial Stability Board. During that time, he was instrumental in navigating Canada’s response to the Global Financial Crisis.

As Dean of the Rotman School of Management at the University of Toronto since 2014, Mr. Macklem has built a strong leadership team and fostered a spirit of collaboration, innovation, and excellence among students, faculty and staff. He has been a frequent speaker on the global financial system, risk management and public policy. He has also chaired the Global Risk Institute, and the Expert Panel on Sustainable Finance. 

Mr. Macklem graduated from Queen's University in 1983 with a bachelor's degree in economics, and completed a master’s degree and a PhD in economics from the University of Western Ontario.

I would be pleased to discuss any aspect of this appointment with you. 

Yours sincerely,

Claire Kennedy
Lead Director