TORONTO, April 1 (Reuters) - Canada’s financial system has the capacity to respond to further stresses and the regulator will continue to assess if additional changes to banks’ capital buffers are needed, the Office of the Superintendent of Financial Institutions (OSFI) said on Wednesday.
OSFI reduced the domestic stability buffer for banks in March to free up C$300 billion ($211.3 billion) of additional lending capacity.
While banks can treat loans subject to six-month payment deferrals as performing loans, they must meet higher capital requirements if they become non-performing beyond that period, OSFI officials said on a media call.
$1 = 1.4198 Canadian dollars Reporting By Nichola Saminather Editing by Denny Thomas and Chizu Nomiyama
Our Standards: The Thomson Reuters Trust Principles.