Banking industry commends federal government’s position on Canadian single securities regulator
For Immediate Release
June 19, 2006
TORONTO – The Canadian Bankers Association (CBA) today voiced its support for Finance Minister Jim Flaherty’s participation in the ongoing effort to create a single securities regulator for this country.
“We commend the federal government, and Minister Flaherty in particular, for the position they have taken on this important issue. A common interpretation of a single body of securities legislation and a single set of rules, that takes into consideration provincial and territorial concerns, would get rid of the inefficiency of 13 separate regulators which has a negative impact on the financial well-being of all Canadians,” said Raymond Protti, President and Chief Executive Officer of the Canadian Bankers Association.
“Right now, Canadian companies are at a competitive disadvantage and are expected to waste millions of dollars every year to meet repetitive and overlapping regulatory requirements, and we need to put an end to that,” he added.
Of the 100 countries that are part of the International Organization of Securities Commissions, Canada is the only country without a national securities regulator.
In a speech this morning to the Halifax Chamber of Commerce, Minister Flaherty said, “What Canada needs is a common securities regulator. Such a regulator would create more investment and jobs, protect investors, save money and give all regions in Canada a real say.”
In his speech, the Minister also noted that he will be discussing this issue with his provincial and territorial counterparts in meetings to be held June 28.
"We have the political will, we have practical models on the table, and we have the facts to prove that our current fragmented regulatory system is undermining Canada’s prosperity,” said Mr. Protti. “It no longer makes sense to retain the status quo and we encourage all those involved to take the final steps and build a single securities regime.”
The Ontario government has shown leadership on this issue by establishing the Crawford Panel on a single Canadian securities regulator. The Crawford Panel released its final recommendations on June 7, which included a blueprint for securities reform.
The CBA has always maintained that a single regulator will benefit all Canadians, including entrepreneurs and businesses seeking capital to grow and create jobs, savers and investors seeking opportunities to build their financial future, employees working for companies that depend on the capital markets for financing and growth, and policy makers seeking an innovative and competitive economy.
Moreover, the CBA believes that in an increasingly global capital marketplace with growing interactions among regulatory authorities, a single regulator could respond more quickly and consistently to international developments. Canadian authorities would speak with one voice in international forums and foreign regulators would better understand the Canadian system and have greater confidence in its integrity.
The Canadian Bankers Association is an industry association representing the domestic and foreign chartered banks of Canada and their 249,000 employees.
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For more information:
Melanie Minos, Manager, Media Relations
Tel: (416) 362-6093, ext. 220
Cell: (416) 587-7733
E-mail: mminos@cba.ca
