Bank of Canada Announces Additional Changes to the List of Eligible Securities for its Term Repo Operations

The Bank of Canada (Bank) is committed to supporting the efficient and continuous functioning of financial markets during the current period of uncertainty in which conditions are evolving rapidly.

To that end, a further expansion of eligible collateral for Term Repo operations, in addition to the changes previously announced by the Bank on March 16th and March 18th, is being made effective immediately.  Eligible securities for these operations will now include, on a temporary basis, bankers’ acceptances (BAs) and promissory notes of Large Value Transfer System (LVTS) participants, including those issued by the Primary Dealer or its affiliate. Please note that own-name BAs/promissory notes will be subject to additional concentration limits. The Bank has revised the Term Repo terms and conditions to reflect these limits.

The Bank of Canada is taking concerted actions to support the Canadian economy during this period of economic stress. These measures will help ensure that financial institutions can continue to extend credit to both households and businesses, and the Canadian financial system has sufficient liquidity.

The Bank of Canada continues to closely monitor global market developments and remains committed to providing liquidity as required to support the functioning of the Canadian financial system.

Scott Kinnear
Director
Financial Markets Department
Bank of Canada
613-782-7723

Mark de Guzman
Director
Financial Markets Department
Bank of Canada
613-782-7245

Media Relations
Bank of Canada
613-782-8782