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ARTICLE · 29 JUNE 2017

Government Of Canada Publishes Bail-In Regulations

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On June 16, 2017, the Government of Canada published in draft for public comment regulations under the Canada Deposit Insurance Corporation Act (the CDIC Act) and the Bank Act...

CanadaFinance and Banking

On June 16, 2017, the Government of Canada published in draft for public comment regulations under the Canada Deposit Insurance Corporation Act (the CDIC Act) and the Bank Act providing the final details of the conversion, issuance and compensation regulations relating to bail-in instruments issued by domestic systemically important banks (D-SIBs) (collectively referred to as the Bail-In Regulations). The Bail-In Regulations represent the final step in the implementation of the bank recapitalization (bail-in) regime that will allow for the expedient conversion of certain bank instruments into regulatory capital in the highly unlikely event that a D-SIB becomes non-viable (see our April 2016 bulletin here, which discusses the bail-in regime). In connection with the publication of the Bail-In Regulations, the Office of the Superintendent of Financial Institutions (OSFI) also published for public comment its draft Total Loss Absorbing Capacity Guideline (the TLAC

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