Canada : Watchdog tells banks to test resilience to sharp home price falls
Tue Jul 26 2016
Jim Andrews (452 articles)

Canada : Watchdog tells banks to test resilience to sharp home price falls

TORONTO : Canada’s banking regulator said on Tuesday it will require the country’s banks to test how they would withstand a 50 percent cut in property prices in Vancouver and a 40 percent decline in Toronto.

The move is the latest in a series of moves by Canadian authorities to counter a threat posed by soaring house prices in the two Canadian cities. OSFI said earlier this month is was tightening oversight of mortgage lending, citing concern about record household debt and a sharp jump in prices.

Jim Andrews

Jim Andrews

Jim Andrews is Desk Correspondent for Global Stock, Currencies, Commodities & Bonds Market . He has been reporting about Global Markets for last 5+ years. He is based in New York

Discussion

Rules of Discussion on Live Index

1. This forum is for discussion of financial markets. Please respect others view even if they are contrary to you.
2. Member's comments should lead to value addition in forum discussion.
3. If anyone is found making repetitive Explicit/Abusive/Racial comments, his account shall be banned and old posts will be deleted.