But with foreign headwinds in the form of a weak global recovery and elevated uncertainty, and a persistently strong Canadian dollar, the policy rate has remained at 1 per cent even as global financial conditions have improved and domestic lending rates have eased to near historic lows. This has provided ongoing support to household spending.
Pillars 1 and 2 in effect distinguish two concepts of capital adequacy: regulatory minimum capital set by pillar 1 and the supervisor's evaluation of banks' internal calculations of their economic capital  BIS Review 22/2001  1  under pillar 2.