Office of the Superintendent of Financial Institutions
The Foreign Bank Branch Deposit Requirement guideline (Guideline A-10) sets out OSFI's expectations regarding the minimum deposit, to be held in trust, which authorized foreign banks must maintain in respect of their business in Canada.
The current version of the guideline dates back to 2002. Since then, OSFI's expectations and processes with respect to Foreign Bank Branches have evolved and the guideline, therefore, requires updating.
OSFI's objective is to update and better align the guideline with the Bank Act. Guideline revisions include:
OSFI issued the proposed revisions to the guideline for consultation in June 2019. A summary of material comments along with OSFI's responses has been posted with the final version.
OSFI recommends that Guideline A-10 be updated to reflect current practices and better align with the Bank Act.
The final version of the guideline will be effective January 1, 2020.
The title of Guideline A-10 is being changed to Foreign Bank Branch Deposit Requirement from Capital Equivalency Deposit.
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