Canada's Big Banks Push for Reforms to Confront Tariff Risks
Canada's big bank CEOs are urging the federal government to remove internal trade barriers, evaluate tax policies, and other regulation as the country's top lenders cautioned that tariff and trade risks are clouding the economic outlook. The six big Canadian banks, which control more than 90% of the banking market and are among the biggest publicly listed companies in Canada, beat analysts' expectations for first-quarter profits but set aside large sums to shield against bad loans in an uncertain economy. The banks' CEOs delivered similar remarks on earnings calls this week.
- As trade tensions between the US and Canada escalate, it is becoming increasingly clear that economic policy in North America has become highly politicized, threatening the stability of regional supply chains and investment decisions.
- What long-term implications will a shift towards more protectionist trade policies have for the global banking industry, which relies heavily on cross-border transactions and investment?