Modernizing how we collect data from institutions
Making sure we have relevant, timely, and high-quality regulatory data, with the right level of detail, is key to our ability to react quickly to changes in the risk environment faced by our regulated entities. Most of the data that OSFI, the Bank of Canada, and the Canada Deposit Insurance Corporation collect from federally regulated financial institutions (FRFIs) and federally regulated pension plans (FRPPs) is in an aggregated format. This aggregated data has served us well in the past. However, it is not easily adaptable to meet our current and future evolving needs. As a result, we often call on the regulated entities to provide additional data on an ad hoc basis that is more specific, which is an added burden.
The Data Collection Modernization initiative
The Data Collection Modernization initiative aims to improve the type of data we collect and the way we collect it. This is the future state of regulatory data collection.
To arrive at this future state, we will need to work with the industry on:
- Collecting the data we need
- Developing consistent definitions and standards
- Improving and simplifying processes for data submission
- Moving to a modern data collection technology solution
- Supporting entities as they pursue their own initiatives to modernize regulatory data reporting, including initiatives to improve overall data quality
We will work with the industry throughout this initiative to promote awareness, understand implications, and consider industry’s capacity to meet our needs.
Planned benefits of the initiative
- Improved ability to make risk intelligent decisions
- More timely responses to evolving risks in the financial system
- Increased efficiency in the data reporting process
- Less data burden over time
- Contribute to public confidence in Canada’s financial system
Progress
- June 2023: FRFIs and FRPPs received Data Collection Modernization launch letter
- July 2023: FRFIs and FRPPs completed the industry questionnaire
- September 2023: Initiated bilateral conversations with associations
- November 2023: First DCM Industry Webinar attended by FRFIs, FRPPs, associations, and vendors
- January 2024: Completed the vendor evaluation for qualified system integrators. Will complete list of qualified software vendors in March 2024.
Coming up next
- Summer 2024: Invite industry to attend organized forums
- Summer 2024: FRFIs and FRPPs to receive Data Collection Modernization progress letter
- Fall 2024: Initiate Data Working Group, starting with the banking sector
If you have questions about this initiative, please email dcm-mcd@osfi-bsif.gc.ca.