Prime Minister Trudeau’s mandate letter for Minister of Finance includes regulatory proposals and updates – Finance and Banking

Canada: Prime Minister Trudeau’s mandate letter for Minister of Finance includes regulatory proposals and updates

On December 16, 2021, Prime Minister Justin Trudeau presented Chrystia Freeland, the Minister of Finance, with a mandate letter outlining his expectations for his department to move forward with a host of proposals. In the letter, the Prime Minister says the Minister of Finance must prioritize support for Canadians and businesses facing challenges in the fight against the COVID-19 pandemic. The Prime Minister raised other goals in line with the finance minister’s expectations ahead of the election and the Liberal government’s campaign platform, including economic recovery and growth supporting the 2030 climate goals, accelerating the transition to a net zero economy by 2050 at the latest; affordable living conditions for middle-class Canadians; and maintaining a healthy financial trajectory.

In particular, the Minister of Finance has been tasked with making the following commitments that financial institutions and those who oversee the regulation of financial institutions should monitor:

• Establish a single, independent ombudsman, with the power to impose binding arbitration, to deal with consumer complaints involving banks.
• Lower the criminal interest rate.
• Require federally regulated financial institutions to provide flexible repayment options to those facing a life event causing financial stress, including a six-month deferral of mortgage payments under qualifying circumstances.
• Advance legislation to strengthen the powers of the Financial Consumer Agency of Canada to review bank charges and fees and to require adjustments if they are excessive.
• Adapt and apply to federally regulated financial institutions the Canada Business Corporations Act the obligation to communicate to shareholders information relating to the diversity of directors and members of general management.
• Support the Minister of Public Safety in his work to strengthen laws and investigative powers related to major financial crimes and to present a proposal to establish a Canadian Financial Crimes Agency.
• Work with stakeholders to reduce the overall average cost of interchange fees for traders. This is intended to benefit small businesses and protect existing consumer reward points.
• In collaboration with the Minister of Innovation, Science and Industry, and with the support of the Minister of National Revenue, to implement a register of beneficial ownership.

For more information, Prime Minister Trudeau’s mandate letter to Minister Freeland is available here.

To view the original article, click here

The content of this article is intended to provide a general guide on the subject. Specialist advice should be sought regarding your particular situation.

POPULAR ARTICLES ON: Finance and Banking in Canada