Office of the Superintendent of Financial Institutions
The purpose of this return is to provide foreign currency and Canadian currency information regarding the size and nature of an institution's claims, other exposures, and liabilities to residents of foreign countries and Canada that are booked in Canada. The data are an important source of information for analyzing international banking activity and measuring Canada's balance of payments and international investment position, and are the basis for fulfilling Canada's reporting responsibilities to the Bank for International Settlements.
Sections 628 and 600 of the Bank Act and Section 24 of the Bank of Canada Act.
This return applies to all internationally active banks and foreign bank branches. Internationally active banks are defined as banks with positions in any currency vis-à-vis non-resident and positions in foreign currency vis-à-vis residents. Domestic banks with no cross-border positions and/or no local positions in foreign currency and Trust and Loan Companies are not required to submit this return.
Certain information is published on a total-for-all-institutions basis in the Bank of Canada Banking and Financial Statistics, in Statistics Canada's International Accounts publication, in Statistics Canada's key socioeconomic database (CANSIM) and
Highlighted texton the BIS website (www.bis.org).
Provide name and phone number of person to contact regarding any questions about this return.
This return is to be completed as at the last day of each quarter and submitted within 40 days of the reporting date.
Bank of Canada.
Return to Table note * referrer Report Abu Dhabi and Dubai separately from other members of United Arab Emirates.
The information reported covers claims, other exposures, and liabilities booked at the Head Office of the institution, at Canadian branches of the institution, at the Head Office or Canadian branches of Canadian Corporations controlled by the institution, or at Canadian branches or offices of foreign corporations controlled by the institution (that is, Canadian units of the institution). International departments or divisions are considered to be residents of the country in which the office is located. The level of consolidation for this return should be the same as that for the Balance Sheet. The positions of investment dealer subsidiaries are to be consolidated into this return.
All domestic and foreign currency claims, other exposures, and liabilities (whether vis-à-vis residents or non-residents) are to be reported on this return.
Separate data are required with respect to positions in Canadian dollars, U.S. dollars, British pound sterling, Euros, Swiss francs, Japanese yen and "all other foreign currencies". The foreign currency positions are to be converted into Canadian currency equivalent amounts at the exchange rates used to convert foreign currency amounts reported on the Balance sheet (M4), to maintain the consistency and comparability between these two reports.Footnote 1
As of January 1, 1999, members of the European Monetary Union (EMU) merged their currencies into a new currency, the Euro. EMU members include: Austria, Belgium, Cyprus (2008), Estonia (2011), Finland, France, Germany, Greece (2001), Ireland, Italy, Latvia (2014), Lithuania (2015), Luxembourg, Malta (2008), Netherlands, Portugal, Slovak Republic (2009), Slovenia (2007) and Spain. Prior to January 1, 1999, EMU member currencies were reported in the "Other Currencies" column, with the exception of Deutsche Marks, which were reported separately. Beginning January 1, 1999, all Euro currency entries (i.e., entries for
all EMU members) are reported in the "Euro" column.
Claims, other exposures, and liabilities are referred to as column numbers; this reference is for the purposes of reporting the return to the Bank of Canada. The residency of counterparties on both an immediate risk and ultimate risk
Highlighted text(guarantor) basis is to be indicated according to a three-digit country code provided on the List of Country Codes. References to "sections" in these instructions are intended to refer to the various sections on the List of Country Codes.
All claims and other exposures are to be reported gross of any allowances for impairment. Accrued interest is to be excluded from all parts of the return. Exclude all gold and silver balances, net debit or credit items in transit vis-à-vis third parties, and items reported as "other" assets and liabilities on the month-end balance sheet except derivatives related amounts and obligations related to assets sold under repurchase agreements.
Claims, other exposures, and liabilities are to be initially classified on a geographical basis according to the mailing address of the counterparty, unless the bank is aware that the resident status of the counterparty is different from their mailing address. Foreign branches or foreign subsidiaries of Canadian corporations are classified as non-residents (making them residents of the foreign country in which they are operating), while branches or subsidiaries of foreign corporations operating in Canada are classified as residents. Claims, other exposures and liabilities vis-à-vis international organizations (multilateral development banks and other international organizations) are to be reported separately in section D of the return (see List of country codes).
All intra-institution balances (including intra-institution net debit and credit items in transit) with foreign units of the institution are to be reported separately in the memorandum columns 17, 377, 105, 517, 527 and 27 as applicable. Intra-institution balances refer to claims on or liabilities to foreign branches, agencies and consolidated subsidiaries booked in Canada at the Head Office of the institution, at Canadian branches of the institution, at the Head Office or Canadian branches of Canadian Corporations controlled by the institution, or at Canadian branches or offices of foreign corporations controlled by the institution. Equity and retained earnings (column 377) include total share capital, contributed surplus, retained earnings closing balance and any other equity claims between the Canadian reporting entity and its affiliate. Inter-company debt balances (column 105) include all trade and non-trade debt such as loans, advances, overdrafts, mortgages, bonds, operating funds and all other forms of indebtedness between the Canadian reporting entity and its affiliate. Operating funds are defined as a loan provided by the head office or the controlling parent institution of a bank to a legally dependent, unincorporated branch for the purpose of supporting its day-to-day operations.
Foreign Bank Branches are to include all balances vis-à-vis head office, other branches of the same bank and related Canadian regulated financial institutions.
Bearer term deposits, covered bonds,
Highlighted textsubordinated debt and other similar negotiable instruments for which the institution has no way of knowing the residency of the holder of such instruments are to be reported in section E (country code 935) on Part II of the return under the column 'Unallocated by sector'.
In section E of the list of country codes, reference is made to shipping loans. "Shipping loans" are defined to be those loans made upon the security of a ship to an entity whose address reflects its desire to fly "flags of convenience" (usually Liberian or Panama), and whose income is generated by chartering its ship to a resident of another country. Since it is difficult to ascertain where the borrower is domiciled and who the
Highlighted textguarantor might be, these types of loans should be reported separately in section E (Unallocated, country code 930). It is not necessary to file any information regarding risk transfers for these types of loans.
For reporting purposes, total immediate risk claims, other financial assets (derivatives), outward risk and inward risk transfers, deposits payable,
Highlighted textdebt securities issued and other liabilities (derivatives
Highlighted textand repo transactions) are further disaggregated by sector (Banks, Central banks, Non-bank financial institutions, Non-financial corporations, General government, Households, Total non-financial sector - which may include Other international organizations,
Highlighted textand Unallocated by sector). Bearer term deposits, covered bonds and other similar negotiable instruments for which the institution has no way of knowing the sector of the holder, may be reported under Debt securities issued - Unallocated by sector category.
Highlighted textInternational organizations other than those considered central banks do not need to be allocated by sector and may be reported under Unallocated by sector category.
Total immediate risk claims are also broken down by residual term to maturity. Claims that cannot be classified by maturity, such as equity, should be assigned to the residual category "Unallocated". Subordinated debt with a remaining maturity 1 year or less is to be reported separately as "of which" category under total subordinated debt.
Highlighted textBanks' own issues of debt securities with original term to maturity of one year or less and long-term securities with remaining maturity of one year or less are to be reported separately as well.
Derivative contracts are to be reported separately under other financial assets and liabilities and should be excluded from claims, inward and outward transfers.
With respect to the sector breakdown, the return makes use of the 1980 Statistics Canada Standard Industrial Classification (SIC) and the North American Industry Classification System (NAICS) to identify borrowers. The concept of institutional sectors used in this return conforms to the attached definition.
Note that Statistics Canada's Standard Industrial Classification speaks only to the Canadian situation. These must be adapted by institutions, unless specified otherwise, for borrowers outside of Canada.
Highlighted textInformation on claims reported on an immediate risk basis that can be reallocated to the country (and/or sector) where the final risk lies, is to be reported by way of outward and inward risk transfers.
Highlighted textRisk transfers refer to credit risk mitigants that shift a bank's credit exposure from the immediate counterparty to a guarantor, to another counterparty or collateral that guarantees the claim.
Highlighted textThe immediate counterparty is the direct party to a contract. For deposits accepted, the immediate counterparty is the depositor; for loans extended, the immediate borrower; for debt and equity securities holdings, the issuer of the securities; and for short sales of securities, the issuer of the securities borrowed or delivered in a reverse repurchase agreement.
Highlighted textThe guarantor is the ultimate party to a contract, who is contractually bound to assume responsibility for the performance of the contract in the event of default by the immediate counterparty.
Highlighted textRisk transfers do not eliminate credit risk; they redistribute it across counterparties. For every outward risk transfer from the immediate counterparty, there is an equivalent inward risk transfer to the guarantor. For example, if a 1 million loan to a company in country A is guaranteed by the company's parent in country B, the guarantee results in an outward risk transfer from country A and an inward risk transfer to country B. For purposes of risk transfer, this transaction would be reported as follows:
Highlighted textThere are four types of risk transfer recognized by Basel Committee on Banking Supervision (BCBS) standards: parent guarantees to branches, explicit guarantees by parents and third parties, credit derivatives, and collateral. Criteria for recognizing these are defined in Table 1.
Highlighted textRisk transfers should be valued at face value or, for credit derivatives, notional value. If the face value of the risk transfer exceeds the value of the underlying claim to which it relates, then the value of the underlying claim should be used. Unadjusted values may be used, excluding haircuts and adjustments for future fluctuations in value.
Highlighted textIf full credit protection is provided by more than one source – for example, from multiple guarantors or multiple forms of collateral – then the risk transfer that has the highest credit quality should be recognized. For instance, for a claim on a branch for which eligible collateral is posted, the risk transfer should be determined according to whether the counterparty's parent or the collateral is of higher credit quality. If partial credit protection is provided by multiple sources, then claims on a guarantor basis should be apportioned according to either a predefined share or from highest credit quality to lowest credit quality.
Where national prudential standards differ from these guidelines, national standards may be followed.
Highlighted textWhere banks are unable to allocate outward risk by country because the protection has been purchased to cover a group, e.g., an industry exposure, banks are to use a reasonable weighted-average allocation formula, e.g., weighted-average based on total claims of the group.
Highlighted textTable 2 provides a list of financial instruments that can be recognized as collateral and illustrates who should be considered the guarantor. The list consists of instruments that are judged to have sufficient market liquidity such that they can be liquidated promptly, mainly cash and securities (BCBS (2017b), paragraphs 146 to 149)Footnote 6.
Where national prudential standards for recognizing collateral differ from the BCBS's standards, national standards may be followed.
Highlighted textSecurities repurchase (repo) agreements involve the provision of securities as collateral for a loan. In a repo, the immediate counterparty is the cash taker, who incurred a loan liability. The security is treated as collateral for the cash provider, and the guarantor is the issuer of the collateral. Similarly, for sale buybacks and securities lending, the guarantor is the issuer of the collateral.
Highlighted textIn the case of security holdings, such as credit-linked notes and other collateralized debt obligations and asset-backed securities, a "look-through" approach should be adopted and the country of guarantor is defined as the country where the debtor of the underlying credit, security or derivative contract resides.
Highlighted textWhere banks are unable to allocate the country and sector of the collateral issuer, e.g. in situations where a third party agent is used to process various poste-trade activity during the life of the transaction, the country and sector of the guarantor, i.e. inward risk transfer, may be reported as unallocated.
Highlighted textInward and outward risk transfers are used to report transfer of risk from one sector to another sector, even when the country of the immediate risk and the country of ultimate risk (guarantor) are the same. The total for all outward risk transfers will equal the total for all inward risk transfers.
Highlighted textThe following equation illustrates how to derive claims on an ultimate risk (guarantor) basis:
Total Claims - Outward Risk + Inward Risk = Total Claims
Immediate Risk Basis Transfer Transfer Ultimate Risk (Guarantor) Basis
Credit derivatives, such as credit default swaps and total return swaps, that belong to the trading book of the protection buying reporting bank should only be reported under the "Derivatives" category, and all other credit derivatives should be reported as "Guarantees" by the protection seller (see Guarantees and Other Unused Credit Commitments below).
Report on-balance sheet derivatives instruments with positive market value under assets and derivatives with negative market value under liabilities. The data should cover all booked in Canada derivatives instruments reported on the balance sheet and the positions should be allocated to the country where the immediate counterparty exposure or risk lies. If country of counterparty/sector is difficult to determine, report the position under Unallocated by country (c935) and/or Unallocated by sector (columns 235, 264). For more on the valuation of derivatives see Derivatives Valuation section below.
Banks are to provide data on financial claims (i.e., positive market values) resulting from derivative contracts. The data should be reported on an ultimate risk
Highlighted text(guarantor) basis, i.e., the positions should be allocated to the country where the final risk lies. The data should cover in principle all derivative instruments that are reported in the context of the BIS's regular OTC derivatives statistics. The data thus mainly comprise forwards, swaps and options relating to foreign exchange, interest rate, equity, commodity and credit derivatives instruments. As previously indicated, credit derivatives, such as credit default swaps and total return swaps, should only be reported under the item "derivatives claims" (and at market value) if they are held for trading by a protection-buying reporting bank. Credit derivatives that are not held for trading, e.g. those held in the banking book, should be reported as "risk transfers" (and at notional value) by a protection-buying reporting bank. For a protection selling reporting bank, all credit derivatives (i.e. CDS sold) should be reported as "guarantees") (see credit derivatives Table 3). Note that CDS sold should be reported at gross notional values and vis-à-vis the country of the underlying reference entity where the ultimate (final) risk lies.
Reporting of financial claims and liabilities resulting from derivatives instruments should be consistent with "replacement value" and compliant with accounting standards used to produce the balance sheet. All derivatives instruments with a positive market value should be treated as assets and those with a negative market value as liabilities.
Highlighted textDerivatives should be reported on a contractual, post-novation basis.
Highlighted textFor derivatives contracts that involve multiple or two-way payments, such as swaps and forwards, the market value is the net present value of the payments to be exchanged by counterparties between the reference date and the contract's maturity. In other words, forwards and swaps should be recorded as if they were one transaction and not two separate legs. Consider a foreign exchange (FX) swap in which a bank initially exchanges USD 140 million for EUR 100 million. Table 4 illustrates the notional and market values of the contract at different exchange rates. If the USD depreciates to EURUSD 1.5, then for the bank that receives USD at maturity the market value of the swap is negative and so is reported as a liability of USD 10 million. If the USD appreciates to EURUSD 1.3, then for the same bank the market value is positive and so the swap is reported as an asset.
Highlighted textFor foreign exchange (FX) derivatives, the currency of denomination depends on the market value of the contract on the reference date. If an FX derivative is reported as an asset (i.e. the market value of the contract is positive), then the currency of denomination is the currency of the long leg: the currency received at maturity. If an FX derivative is recorded as a liability (i.e. the market value of the contract is negative), then the currency of denomination is the currency of the short leg: the currency paid at maturity. The switching between short and long positions reflects the bank's net exposure to movements in the exchange rate.
Highlighted textIn the example from Table 4, where a bank exchanges USD 140 million for EUR 100 million: if the USD depreciates to EURUSD 1.5, then the bank that receives USD at maturity will report the swap as a liability of USD 10 million denominated in EUR. If the USD appreciates to EURUSD 1.3, then the same bank will report the swap as an asset of USD 10 million denominated in USD.
Highlighted textNote that all foreign currency positions are to be converted into Canadian currency for reporting purposes.
Data are to be reported on exposures to the reporting bank via guarantees and unused credit commitments other than guarantees. These are to be reported on an ultimate risk
Highlighted text(guarantor) basis, i.e., the positions allocated to the country where the final risk lies. Both types of data should be reported to the extent that they represent the unutilized portion of both binding contractual obligations and any other irrevocable commitments. Performance bonds and other forms of guarantee should only be reported if, in the event of the contingency occurring, the resulting claims would have an impact on total balance sheet claims. Guarantees or commitments that can be cancelled unconditionally are presumed to be revocable and thus should not be included. A more detailed definition of guarantees and other credit commitments and a non-exhaustive list of typical instruments that qualify as guarantees and other credit commitments are provided below.
"Guarantees" are contingent liabilities arising from an irrevocable obligation to pay a third-party beneficiary when a client fails to perform some contractual obligation. They include secured, bid and performance bonds, warranties and indemnities, confirmed documentary credits, irrevocable and standby letters of credit, acceptances and endorsements. Guarantees extended also include the contingent liabilities of the protection seller of credit derivatives instruments (see credit derivatives
Highlighted textTable 3).
"Other unused credit commitments" are arrangements that irrevocably obligate an institution, at a client's request, to extend credit in the form of loans, participation in loans, lease financing receivables, mortgages, overdrafts or other loan substitutes or commitments to extend credit in the form of the purchase of loans, securities or other assets.
Normally commitments involve a written contract or agreement and some form of consideration, such as a commitment fee. This definition is identical to that used in the Capital Adequacy Return. Include customers' liability under acceptances (Assets 4 of the month-end balance sheet). Do not include such items as letters of awareness or intent, comfort letters, or similar documents.
Contingent liabilities resulting from guarantees and credit commitments should be valued at face value or the maximum possible exposure.
Further instrument definitions and reporting categorizations follows.
Positions on an immediate risk basis
Columns 528, 110, 529- Balances with Banks, Central banks and Financial Institutions, and Bank notes and other coin
Deposits with other banks, central banks and financial institutions are to be reported geographically according to the location of the institution's branch where the deposit is held. Banks' holdings of notes and coins that are in circulation and commonly used to make payments are also to be reported in these columns. Due to the impossibility of allocating euro notes to the specific issuing euro area country, these banknotes and coins are to be allocated as claims on the European Central Bank (C923).
Exclude net debit items in transit.
Columns 3, 364, 200, 201, 202, 203, 204, 205, 206, 367, 207, 208, 209, 210, 211, 212, 213, 370, 214, 215, 216, 217, 218, 219, 220- Securities
Securities are to be reported at balance sheet value, gross of any allowance for impairment and are to be reported geographically according to the country of residence of the issuer. Short-term securities are those with an original term to maturity of one year or less, with the exception of Government of Canada securities where short-term securities are those with a remaining term to maturity of 3 years or less.
Columns 4, 376, 221, 222, 223, 224, 225, 226, 227 - Loans
All loans are to be reported at balance sheet value, gross of any allowance for impairment. Loans include lease receivables. Report reverse repurchase agreements included in loans under "of which" category 227.
Column 6 - Total Claims
Report the total of columns 528, 110, 529, 3, 4, 376, 221, 225 and 226
Columns 99, 11, 112, 400 – Distribution of Total Claims by Residual Term to Maturity
Distribute total claims (column 6) according to residual term to maturity. The maturity distribution should reflect amortization periods or final maturity dates, rather than interest adjustment or rollover dates. Installment loans should be allocated to the periods in which the installment payments are made. Demand loans should be classified as claims with a maturity of one year or less. If a claim involves a sinking fund, use the final maturity date. Equities are to be included in column 400 (unallocated) along with the data for which it is not necessary to report maturity, e.g., deposits with individual banks, securities holdings of specific issues amounting to $200,000 or less, and loans made under authorization of $200,000 or less.
Columns 17, 377, 105 and 517 - Total Head Office Claims on Foreign Branches, Agencies and Consolidated Subsidiaries (Inter-office positions)
Report claims on foreign branches, agencies and consolidated subsidiaries booked in Canada at the Head Office of the bank, at Canadian branches of the bank, at the Head Office or Canadian branches of Canadian Corporations controlled by the bank, or at Canadian branches or offices of foreign corporations controlled by the bank. Equity and retained earnings (column 377) include total share capital, contributed surplus, retained earnings closing balance and any other equity claims between the Canadian reporting entity and its affiliate. Inter-company debt balances (column 105) include all trade and non-trade debt such as loans, advances, overdrafts, mortgages, bonds, operating funds and all other forms of indebtedness between the Canadian reporting entity and its affiliates. Intra-institution claims on banks are also to be reported in column 517. Foreign bank branches are to report in columns 17, 377, 105 and 517 amounts vis-à-vis head office, other branches of the same bank and Canadian regulated financial institutions.
Columns 401, 236, 237, 238, 239, 240, 241, 242 and 404 Outward Risk Transfers
Report the amounts in column 6 which are guaranteed or assured through some type of commitment by a party in another country or by another sector in the same country (see general instructions).
Columns 411, 243, 244, 245, 246, 247, 248, 249 and 414 - Inward Risk Transfers
Report the amount of any guarantees and other types of credit commitments made by residents of each country related to claims that the reporting bank has on residents of other countries or by another sector in the same country (see general instructions).
Columns 228, 229, 230, 231, 232, 233, 234 and 235 – Derivatives – Immediate Risk basis
Report all on balance sheet derivative instruments with positive market value. Note that derivative contracts are excluded from total claims (6).
Column 420 – Total Claims Ultimate Risk
Highlighted text(Guarantor) Basis
Report the total of columns 6 less 404 plus 414.
Columns 421, 422 – Unused Credit Commitments
Report separate amounts for "guarantees" and "other" types of unused credit commitments on an ultimate risk
Highlighted text(guarantor) basis (see general instructions). When the currency of future borrowings is not known at the reporting date, report such commitments under the currency in which the maximum authorized drawdown for the loan is stated.
Column 423 – Derivatives
Report the market value of OTC derivative contracts on an ultimate risk
Highlighted text(guarantor) basis (see general instructions).
Highlighted textColumns 900, 905, 910, 915, 920, 925, 930 and 935 - Deposits Payable
Highlighted textReport debt instruments that are not negotiable and are represented by evidence of a deposit.
Highlighted text900 - Deposits Payable to Banks
Deposits payable to other banks are to be classified geographically according to the residency of the branch of the depositing institution. Report deposits payable to central banks and other official monetary authorities separately. Exclude net credit items in transit.
Highlighted text905 - Deposits Payable to Central banks and Other Official Monetary Authorities
Include deposits payable to central banks and other official monetary authorities (see List of central banks and other official monetary authorities).
Highlighted text910, 915, 920, 925, 930, 935 - Deposits Payable to Non-banks
Highlighted textand unallocated by sector
Report deposits payable to Financial institutions, Non-financial corporations, General government, Households, Total non-financial sector and deposits unallocated by sector.
Highlighted textColumns 700, 705, 710, 715, 720, 725, 730, 735, 740 and 745 – Debt Securities Issued
Highlighted textColumns 700, 705, 710, 715, 720, 725, 730, 735
Highlighted textReport debt securities that are negotiable financial instruments serving as evidence of a debt. Negotiability refers to the fact that legal ownership of the instrument is readily capable of being transferred from one owner to another by delivery or endorsement. While any financial instrument can potentially be traded, negotiable instruments are designed to be traded on an organized exchange or "over the counter" (OTC), although actual trading is not a necessary condition for negotiability. The OTC market involves parties negotiating directly with one another, rather than on a public exchange.Footnote 7.
Highlighted textThe most common types of debt security include bills, bonds, notes, negotiable certificates of deposit, commercial paper, debentures, asset-backed securities, and similar instruments normally traded in the financial markets that serve as evidence of a debt.
Highlighted textCommon types of debt security are those sold on:
Highlighted textColumn 740 ("of which" category)
Highlighted textReport debt securities included in categories 700, 705, 710, 715, 720, 725, 730, 735 with an original term to maturity of one year or less.
Highlighted textColumn 745 ("of which" category)
Highlighted textReport long term debt securities (original maturity over one year) included in categories 700, 705, 710, 715, 720, 725, 730, 735 with remaining term to maturity of one year or less.
Column 22 - Total of all Deposits Payable
Highlighted textand Debt Securities Issued
Report the total of columns
Highlighted text900, 905, 910, 930, 935, 700, 705, 710, 730, 735.
Columns 27, 527 - Total Liabilities to Foreign Branches and Agencies, and Consolidated Subsidiaries (Inter-office positions)
Report total liabilities to foreign branches, agencies and consolidated subsidiaries booked in Canada at the Head Office of the bank, at Canadian branches of the bank, at the Head Office or Canadian branches of Canadian Corporations controlled by the bank, or at Canadian branches or offices of foreign corporations controlled by the bank. Intra-institution liabilities to banks are also to be reported in column 527. Foreign bank branches are to report in column 27 and 527 amounts vis-à-vis head office and other branches of the same bank and related Canadian regulated financial institutions.
Columns 664, 256 - Subordinated Debt
Report subordinated debt outstanding. If residency of the holder is unknown, report these amounts in Section E (country code 935). Subordinated debt with a remaining maturity of up to and including one year should also be reported under column 256.
Columns 257, 258, 259, 260, 261, 262, 263 and 264 – Derivatives
Report all on-balance sheet derivative instruments with negative market value.
Highlighted text800, 805, 810, 815, 820, 830, 835, 265 – Repurchase agreements
Repurchase agreements are to be reported geographically according to the
Highlighted textsectorFootnote 8 and location of the repo counterparty.
All banks are required, as at the end of each calendar quarter, to reconcile the information reported on this return with that reported on the month end balance sheet (M4).
The Quarterly reconciliation of the geographical distribution return with the consolidated monthly return of assets and liabilities (T2) is to be submitted within 40 days of the calendar quarter. Banks that also report the booked outside Canada return (GR) should submit their reconciliation within 60 days of the calendar quarter.
Positions to be reported are shown below:
Total currency and foreign currency claims (excluding cash and cash equivalent) reported in the Geographical Return as at the end of the calendar quarter:
Total currency and foreign currency amounts excluded from Quarterly Geographical Return:
Total currency and foreign currency claims (excluding cash and cash equivalents) reported in consolidated monthly balance sheet as at the end of the calendar quarter:
Total currency and foreign currency deposits reported in the Geographical Return as at the end of the calendar quarter:
Total currency and foreign currency deposits reported in consolidated monthly balance sheet as at the end of the calendar quarter:
Return to transaction note referrer * Please note that the term "bank" only refers to either head offices of banks or their legally independent and incorporated subsidiaries, but not to branches of banks which are referred to separately. In addition, the term "none" is meant to be a short version for "no reporting required".
Return to transaction note referrer **Highlighted textClaim is protected by two entities. See Risk Transfer section for reporting guidelines.
5. A Korean bank in Canada has guaranteed a loan extended by a Japanese bank to a corporate in Korea
Note that the conceptual framework of Financial Flow Sectors set out below speaks only to the Canadian situation.
These sectors and a brief explanation of them are:
Include transactions with social insurance programs operated by governments (e.g., Workmen's Compensation Board), non-trusteed public service pension plans operated outside the governmental budgetary framework (e.g., Public Service Superannuation Fund (Ontario)) and public hospitals.
These are defined as enterprises which are of a commercial nature and charge a price for their goods and services related to their costs of production. Typically, these institutions are engaged in manufacturing, lending, insurance, transportation, communication, the provision of electric power, and the distribution of liquor through provincial liquor boards.
Institutions included in this category typically are characterized by the following:
Not included are organizations which:
Include the Canada Deposit Insurance Corporation, Canada Mortgage and Housing Corporation, Export Development Canada, Farm Credit Canada, Business Development Bank of Canada and ATB Financial.
A list of organizations at the federal and provincial levels is provided in the manual. There is no corresponding list at the municipal level.
The determination for using the municipal category is left at the discretion of the institution.
Includes all corporations and unincorporated branches of foreign corporations operating in Canada, except financial institutions and government enterprises.
V. Unincorporated Business
Includes all businesses which are not incorporated under the law of Canada or a province and which are not unincorporated branches of foreign corporations (see III above).
The complete list of Federal and Provincial Government Enterprises can now be found under a new section entitled Government Business Enterprises (GBE).
Highlighted textPrior to March 1, 2017, the foreign currency amounts were translated into Canadian currency equivalent amounts using closing foreign exchange rates provided by the Bank of Canada. Currencies for which the Bank of Canada did not provide closing rates were converted to Canadian currency equivalents using a representative closing market mid‑rate or the other market rate available.
Return to footnote 1
Highlighted textMultilateral development banks may be classified as unallocated by sector.
Return to footnote 2
Highlighted textInternational organizations may be classified as unallocated by sector.
Return to footnote 3
Highlighted textMultilateral development banks may be classified as unallocated by sector.
Return to footnote 4
Return to footnote 5
Highlighted textBCBS (2017)
Return to footnote 6
Highlighted textSee paragraphs 3.2 to 3.6 of the Handbook on Securities Statistics for a definition and a list of instruments
Handbook on Securities Statistics (bis.org) and the Balance of Payments and International Investment Position Manual, Sixth Edition (BPM6) paragraph 5.44
Return to footnote 7
Highlighted textReporting of Repurchase agreements sector breakdown is optional till 3Q2023 and required afterwards.
Return to footnote 8
Highlighted textFor a comprehensive list of international organizations, see also the
BOP Vademecum prepared by Eurostat (not to be used for sector classification)
Return to footnote 9
Highlighted textInternational organizations may be classified as unallocated by sector.
Return to footnote 10