In its Financial System Review Summary, BoC said since the onset of the coronavirus pandemic, it has established a range of facilities and purchase programs to address the problems with market function and confidence. These measures are “showing signs of succeeding”. It noted that:
- Access to liquidity has greatly improved in key financial markets that had been showing signs of significant stress.
- Many of the programs are now being used less than they were at inception.
Governor Stephen Poloz said: “Our goal in the short-term is to help Canadian households and businesses bridge the crisis period. Our longer-term goal is to provide a strong foundation for a recovery in jobs and growth.”
He added, “We entered this global health crisis with a strong economy and resilient financial system. This will support the recovery. But we know that debt levels are going to rise, so the right combination of economic policies will be important too.”
