2  BIS central bankers’ speeches  The reconstruction challenge Perhaps there should be no surprise, then, given the decline in global demand, the drop in the number of American companies to trade with, and the related drop in the number of Canadian exporters, that Canada’s export sector has lagged. It is the only component of Canada’s GDP that remains below its pre-recession peak.
From a risk-management and capital perspective, institutions should employ stress tests and other  2  BIS Review 7/2006  exercises to help identify CRE vulnerabilities, including potential correlations with non-CRE exposures that might move in the same direction during a downturn. Nontraditional mortgage products The U.S. banking agencies have also issued draft guidance on certain mortgage products.