Second, the improvement in confidence is gradually feeding through into the real economy. The fall in GDP in 2013 turned out to be milder compared both with 2012 and with projections in early 2013, mainly on account of the robust performance of exports, especially tourism, and smaller declines in consumption and investment. Third, the risks to gradual stabilisation did not materialise.
I also want to assure Canadians that the steps taken to bolster our financial system are proving their worth. Canadian banks are held to the highest global regulatory standards and subject to rigorous supervision. At the Bank of Canada, we will continue to monitor the financial system closely for signs of stress.