CDIC discusses how preparedness is key to protecting depositors
OTTAWA – November 3, 2022 – Canada Deposit Insurance Corporation (CDIC) held its Annual Public Meeting today via live webcast. CDIC President and CEO Leah Anderson was joined by Chair of the Board, Robert Sanderson, to discuss highlights in CDIC’s preparedness efforts, reinforcing trust in deposit insurance and recent governance updates that are helping CDIC navigate a complex and uncertain operating environment.
“Our current state of readiness ramped up when the COVID-19 pandemic arrived in early 2020, and we have not let down our guard,” said Ms. Anderson. “As we have for 55 years, CDIC remains steadfast in its mandate to protect the savings of depositors in the unlikely event a member institution should fail.”
Key to CDIC’s preparedness is the ability for early and continuous identification of risks that can materially impact one or more member institutions and having detailed plans to resolve a potential crisis or failure of a specific troubled institution. These plans not only consider the impact on individual members, but also the system-wide impacts of a crisis.
CDIC credits working with key stakeholders, industry leaders and financial safety net partners during this time of uncertainty and change as critical to keeping pace with depositor expectations and financial innovation while maintaining a state of readiness and reinforcing trust in deposit protection.
CDIC is a federal Crown corporation established in 1967 to protect the savings of Canadians and contribute to financial stability. We currently safeguard more than $1 trillion in eligible deposits at more than 80 member institutions. As resolution authority, CDIC is responsible for handling the failure of any of our members, from the smallest to the largest. Our members include banks, federally regulated credit unions as well as loan and trust companies. CDIC is funded by premiums paid by member institutions. CDIC has resolved 43 member failures affecting some two million Canadians. No one has lost a dollar of deposits under CDIC protection.
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