Here, I hasten to caution that the totally misplaced temptation, and impatience, to introduce/launch “cash-settled” IRF, any how, some how, and at any cost, must be firmly, and decisively, resisted for such medicine will be worse than the disease!
The Bank will keep the holdings of Government of Canada bonds on our balance sheet roughly constant at least until we begin to raise the policy interest rate. At that time, we will consider exiting the reinvestment phase and reducing the size of our balance sheet by allowing maturing Government of Canada bonds to roll off.