Press conference following the release of the Financial Stability Report.

Canada’s financial system has functioned well through a challenging year. Households and businesses remain in stable financial condition, and banks have strengthened their capacity to absorb shocks. However, vulnerabilities have increased in some parts of the system, and a more turbulent global environment poses risks to financial stability.

The Bank of Canada announced today it is joining the Bank for International Settlements’ Project Agorá, an initiative exploring how tokenization could improve wholesale cross-border payments.

External Deputy Governor Nicolas Vincent explores the factors driving recent shifts in Canada’s labour market and the implications for monetary policy.