Archived - Part 3 – Various Measures: Division 9
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Financial Administration Act
Economic Action Plan 2012 brought forward measures to support the central clearing of over-the-counter derivative transactions, a key G20 commitment, and to reinforce Canada’s financial stability framework. Economic Action Plan 2013 builds on this action by introducing further changes to support the G20 reform agenda.
This measure would modernize the Financial Administration Act (FAA) to permit agent Crown corporations designated by the Minister of Finance to pledge cash and securities as collateral to support their hedging activities when using over-the-counter derivatives.
This would enable these Crown corporations to reduce risks and costs associated with their over-the-counter derivatives activities and respond to evolving international regulatory standards and market practices.