The Office of the Superintendent of Financial Institutions
("OSFI") yesterday issued a communiqué indicating
that, effective July 2013, OSFI will require all
federally-regulated Trust and Loan Companies and Retail
Associations to submit the Report on New Lending (A4).
Effective as of July, 2013, all Trust and Loan Companies and
Retail Associations will be required to submit the report to the
Bank of Canada on a monthly basis, within 30 days of the end of
each month. The purpose of the return, previously only required of
banks and foreign bank branches, is to provide the Bank of Canada
with information on the interest rates charged and funds advanced
by the institutions for new Canadian-dollar loans booked in Canada
to Canadian individuals and businesses.
In the return, institutions are required to provide weighted
averages of the interest rates charged and cumulative totals of the
funds advanced in the month, including new draws on existing
facilities as well as renewals and refinancings, broken down across
a number of categories of personal and business loans. Credit card
lending is not reported in the return. Even those institutions with
no new lending activity to report in a given month must file a nil
return. The information provided by the institutions in the monthly
return is not published.
In extending the reporting requirements to also apply to Trust
and Loan Companies and Retail Associations, the Bank of Canada
hopes to gain a more comprehensive picture of lending activities in
Canada by regulated institutions. The information provided allows
for an analysis of the cost of borrowing and the changes to the
cost of borrowing as a result of adjustments in monetary policy. It
also improves the credit information available to the Bank of
Canada for individuals and businesses and facilitates the
calculation of the debt service ratio.
Those Loan and Trust Companies that are subsidiaries of Banks or
federally-incorporated Trust and Loan Companies are excluded from
the new requirement.
The foregoing provides only an overview. Readers are
cautioned against making any decisions based on this material
alone. Rather, a qualified lawyer should be consulted.
In late October 2016, the federal government introduced Bill C-29, Budget Implementation Act, 2016, No. 2, which addresses a wide variety of topics, including proposed changes to the Bank Act (Canada).
Alexion Pharmaceuticals Inc. brought two judicial reviews in relation to the Patented Medicine Prices Review Board's (the PMPRB or the Board) excessive price proceeding over its drug SOLIRIS® (eculizumab).
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