It is essential to maintain this buffer in light of the elevated risks that still exist worldwide and the structural issues that persist in the Canadian economy, even after the recession. The standard of living that we will be able to sustain in the medium term will depend, in fact, on our ability to address these issues.
Single financial regulatory authority Ladies and Gentlemen, the CLICO crisis was partly due to regulatory arbitrage across the two main regulators – the Central Bank and the TTSEC. I fully understand and appreciate the merit in having checks and balances and healthy tensions across multiple regulators.