The two newly licensed full-service banks, eleven payment banks and soon to be licensed small finance banks, would provide further impetus to accessibility of finance and render the credit intermediation process more efficient, thereby contributing to a sustainable and inclusive growth. Focus on SME financing – a key driver for future 14.
The Governing Council believes it’s important to continue studying the matter, not just as it pertains to government bonds, but also to other asset classes. Given the new regulatory architecture, we may not know just how resilient market liquidity is until there’s a true stress event. Let me now turn to vulnerabilities being created by persistently very low interest rates in Canada.