OSFI confirms Royal Bank of Canada designation as a global systemically important bank

News Release

For Immediate Release

OTTAWA ─ November 21, 2017 ─ Office of the Superintendent of Financial Institutions Canada

Today the Financial Stability Board (FSB) added Royal Bank of Canada (RBC) to the list of global systemically important banks (G-SIBs). The G-SIB designation and subsequent increased regulatory expectations are designed to reduce the likelihood of a failure and the potential impact that a failure would have on the global economy.

RBC is already subject to OSFI’s framework for domestic systemically important banks (D-SIBs), and therefore is well positioned to meet the G-SIB requirements starting in January 2019.

Quick Facts

  • In March 2013, OSFI named the six largest Canadian banks as D-SIBs, RBC being among them. These banks are subject to a capital surcharge, enhanced supervision, recovery and resolution planning, and increased disclosure. These requirements are generally consistent with the G-SIB framework.
  • RBC’s G-SIB designation is based on the assessment methodology published by the Basel Committee on Banking Supervision (BCBS) using 2016 data.
  • RBC is ranked in the lowest capital surcharge bucket (Bucket 1) and already meets the requirement of 1% Common Equity Tier One (CET1) capital.

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About OSFI

The Office of the Superintendent of Financial Institutions (OSFI) is an independent agency of the Government of Canada, established in 1987, to protect depositors, policyholders, financial institution creditors and pension plan members, while allowing financial institutions to compete and take reasonable risks.

Media Contact

Annik Faucher
OSFI – Public Affairs