OTTAWA – October 17, 2023 – The Canada Deposit Insurance Corporation’s (CDIC) 2023 Annual Report was tabled today in Parliament. 

“Over the past year, ongoing geopolitical tensions, climate events, cyber security, and a deteriorating economic outlook have amplified the complexity of risks to Canada’s financial system,” said President and Chief Executive Officer (CEO) Leah Anderson. “The good news is, even in the face of these risks, we delivered on our mandate to protect depositors.” 

The CDIC 2023 Annual Report highlights progress made against our key strategic priorities during the 2022-2023 fiscal year, including: 

1.  To be resolution ready. 
   
   It is rare for financial institutions in Canada to fail, but when they do, CDIC is here to make sure people’s eligible deposits are protected and accessible. Being resolution ready means having the necessary people, processes, tools, systems, and financial capacity for CDIC to resolve a member financial institution, if necessary. CDIC advanced these efforts through early and continuous identification of risks to our member financial institutions, the modernization of our funding framework, and activities to strengthen our resolution strategies, policies, and plans.
    
2. To reinforce trust in depositor protection.
   
   The range of financial products and service providers is dynamic and rapidly evolving.  CDIC keeps pace by staying on top of market innovation, new deposit products and services, and people’s changing savings habits. We made progress on a number of initiatives over the past year in response to these developments to reinforce public trust in deposit protection. For example, we advanced our multi-year Payout Modernization Program to ensure depositors continue to have fast and reliable access to their eligible deposits in the event of a member failure, and raised public awareness of deposit insurance to a record level of 64% through CDIC’s Public Awareness Campaign. 
    
3. To strengthen organizational resilience.  
   
   A rapidly changing financial sector requires a proactive approach to managing our operations. A key pillar of our promise to serve the people of Canada is our commitment to continuous organizational improvement. We anticipate and respond to risks that can impact CDIC’s operating environment, including technologies, our workforce, and our culture on a daily basis. Over the past year, we enhanced our cyber security posture and multi-year enterprise technology strategy, while fostering a vibrant, thriving, and inclusive environment that supports hybrid work. CDIC was also proud to be certified a “Great Place to Work” by the Great Place to Work® Institute Canada in November 2022. 

CDIC’s performance over the past year has bolstered our preparedness to respond to risks and better protect people’s hard-earned money.  

The CDIC 2023 Annual Report also outlines our financial performance over the past year. 

About CDIC 

CDIC is a federal Crown corporation, established in 1967. We protect people’s money and contribute to financial stability by safeguarding over $1 trillion in eligible deposits at more than 85 member financial institutions. As a resolution authority, we are 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 trust and loan companies. We are funded by premiums paid by member financial institutions and do not receive public funds to operate. We have resolved 43 member failures to date, affecting some two million people in Canada.  

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For further information

Tamara Mason
Head, Communications and Reporting  
Tel: 343-543-3562 
E-mail: media@cdic.ca 

OTTAWA – October 12, 2023 – Canada Deposit Insurance Corporation (CDIC) held its Annual Public Meeting today via live webcast. Leah Anderson, President and Chief Executive Officer, was joined by Robert Sanderson, Chair of the Board of Directors, to discuss how CDIC is protecting depositors and promoting financial stability through deposit insurance protection and resolution preparedness.

“As I reflect on the past year, I am struck by the increasing pace of change and innovation in the financial sector, and the dynamic risk environment for CDIC’s member financial institutions,” said Ms. Anderson. “Throughout this period, CDIC continued to deliver on its mandate to protect depositors by staying focused on our strategic priorities.”

CDIC’s priorities include reinforcing trust in deposit protection through a robust public awareness program and appropriate disclosures at member financial institutions; being “resolution ready” through early and continuous identification of risks to CDIC members and timely resolution management plans; and fostering organizational resilience through its corporate operations and a diverse and inclusive workforce.

Ms. Anderson also announced that CDIC will offer easily downloadable and shareable social media content for members during Financial Literacy Month in November to help them promote their membership and inform depositors about CDIC protection.

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About CDIC

CDIC is a federal Crown corporation, established in 1967. We protect people’s money and contribute to financial stability by safeguarding over $1 trillion in eligible deposits at more than 85-member financial institutions. As a resolution authority, we are 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 trust and loan companies. We are funded by premiums paid by member financial institutions and do not receive public funds to operate. We have resolved 43 member failures to date, affecting some two million people in Canada.

For further information

Tamara Mason
Head, Communications and Reporting
Tel: 343-543-3562
E-mail: media@cdic.ca

The Board of Directors of the Canada Deposit Insurance Corporation (CDIC) is pleased to announce that its 2023 Annual Public Meeting will be held via live bilingual webcast on October 12, 2023, from 2 p.m. to 3:00 p.m. ET.  

Leah Anderson, President and Chief Executive Officer, and Robert Sanderson, Chair of the Board, will discuss how CDIC is protecting depositors and promoting financial stability through deposit insurance protection and resolution preparedness in a complex and dynamic financial environment. 

Members of the public are invited to participate and ask questions live or in advance by e-mailing smenquiries@cdic.ca, or by sending a tweet or direct message to @CDIC_CA in English or @SADC_CA in French.   

We look forward to having you join us. Follow us on Meta, X (Twitter), Instagram and LinkedIn for regular updates. 

Event Details

The event will take place via live webcast on October 12, 2023, from 2:00 p.m. to 3:00 p.m. ET.

View CDIC’s 2022 Annual Report.

Ottawa – July 31, 2023 – Today, CDIC concludes its review of the Differential Premiums System (DPS), a risk-based ratings system used to set premiums paid by member institutions. The changes, which are anticipated to be implemented in the 2025 premium year, are outlined in CDIC Differential Premiums System Review – Conclusions.

CDIC will make the following key changes:   

• Raise the number of premium categories from four to five
• Increase the frequency of differential premium assessments (process of classifying member institutions into risk categories) from annual to semi-annual 
• Enhance the DPS scorecard, which measures financial and regulatory criteria, to capture a broader set of risks posed by member institutions to CDIC

Once implemented, these changes will modernize and improve the effectiveness of the DPS.

CDIC launched its DPS review one year ago, on July 25, 2022, with a 90-day public consultation with member institutions and industry organizations. CDIC listened carefully and made some adjustments based on the input we received. For more information, please consult this summary of feedback. CDIC thanks all the members and industry organizations who participated and contributed to the review.

About CDIC

CDIC is a federal Crown corporation established in 1967 to protect the savings of Canadians and to contribute to financial stability by safeguarding close to $1 trillion in deposits at more than 85 member institutions. As a resolution authority, we are 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 trust and loan companies. We are funded by premiums paid by member institutions and do not receive public funds to operate. We have resolved 43 member failures to date, affecting some two million Canadians. No one has ever lost a dollar of deposits under CDIC’s protection.

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For further information

Tamara Mason
Head, Communications and Reporting
Tel: 343-543-3562
E-mail: media@cdic.ca

OTTAWA – June 23, 2023 – The Canada Deposit Insurance Corporation (CDIC) welcomes Innovation Federal Credit Union to its membership.  

For more than 50 years, CDIC has protected Canadians’ deposits and promoted financial stability. CDIC membership means eligible deposits at Innovation will now be protected up to $100,000 in each of our deposit categories. 

Innovation Federal Credit Union is a Saskatchewan-headquartered financial institution with over 450 staff in 24 advice centre locations. The credit union serves over 59,000 members and has approximately $4.335 billion total assets under administration. 

CDIC is a federal Crown corporation established in 1967 to protect the savings of Canadians, and we contribute to financial stability by safeguarding over $1 trillion in deposits in all our member institutions. As resolution authority, we are responsible for handling the failure of any of our members, from the smallest to the largest.

CDIC is funded by premiums paid by member institutions and does not receive public funds to operate. We have dealt with 43 member failures affecting some two million Canadians. No one has lost a dollar of deposits under CDIC protection. 

Look for this logo to identify a CDIC member institution: 

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For further information

Tamara Mason
Head, Communications and Reporting
E-mail: media@cdic.ca

Standing Senate Committee on Banking, Commerce and the Economy

Speaking Notes by Leah Anderson, CDIC President and CEO – May 17, 2023

International Association of Deposit Insurers (IADI): 7^th Americas Deposit Insurance Forum

Speaking Notes by Leah Anderson, CDIC President and CEO – April 25, 2023

OTTAWA – April 24, 2023 – Today, the Canada Deposit Insurance Corporation (CDIC) welcomes the announcement by the Honourable Chrystia Freeland, Deputy Prime Minister and Minister of Finance, to appoint Leah Anderson as its President and Chief Executive Officer (CEO) for a five-year term.

Ms. Anderson has been serving as Interim President and CEO since August 2021. CDIC protects depositors by strengthening financial system resolution readiness to ensure Canadians have timely access to their savings, and promoting financial system stability.

“CDIC deposit protection is a cornerstone of Canada’s strong and resilient financial system,” said Ms. Anderson. “It is an honour to continue serving Canadians and provide peace of mind that their hard-earned savings are safe and will be available when needed.”

Ms. Anderson brings with her extensive experience. Prior to joining CDIC, she held a range of senior executive roles at Finance Canada, including most recently as Assistant Deputy Minister responsible for Financial Sector Policy where she worked to ensure financial system stability and sound oversight, including in the areas of housing finance, deposit insurance, and the payments system. Her work also focused on the extraordinary financial sector response to the COVID-19 pandemic.

About CDIC

CDIC is a federal Crown corporation established in 1967 to protect the savings of Canadians and contribute to financial stability by safeguarding more than $1 trillion in eligible deposits at more than 85 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. We are funded by premiums paid by member institutions and do not receive public funds to operate. We have resolved 43 member failures to date, affecting some two million Canadians. No one has lost a dollar of deposits under CDIC protection.

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For further information

Mark Boutet
Head, Communications and Stakeholder Relations
Tel: 613-943-4395
E-mail: media@cdic.ca

The Canada Deposit Insurance Corporation (CDIC) welcomes the expansion of deposit insurance coverage to include First Home Savings Accounts (FHSA). Effective April 1^st, eligible deposits in FHSAs are separately protected for up to $100,000 at each CDIC member institution.

Eligible deposits can be held in Canadian dollars or in a foreign currency, and include:

• savings and chequing accounts
• GICs and other term deposits
• money orders, certified cheques and bank drafts issued by CDIC members

There are now nine separately protected coverage categories that can receive up to $100,000 (principal and interest combined) in protection at each CDIC member institution, meaning Canadians can maximize their coverage well beyond $100,000. CDIC coverage categories are:

• Tax-Free Savings Accounts (TFSAs)
• Tax-Free Home Savings Accounts (FHSAs)
• Registered Education Savings Plans (RESPs)
• Registered Disability Savings Plans (RDSPs)
• Registered Retirement Savings Plans (RRSPs)
• Registered Retirement Income Funds (RRIFs)
• deposits in one name
• joint deposits
• trust deposits

The FHSA is the latest in a number of important changes to the deposit protection framework in recent years, making this the broadest protection offered in Canada’s history. In 2022, RESPs and RDSPs were introduced as separately protected categories.

The Government of Canada recently passed legislation to further expand the deposit insurance framework. Effective April 1, 2023, eligible deposits held in the First Home Savings Account (FHSA) will be separately protected for up to $100,000, bringing to nine the total number of CDIC deposit insurance categories at each member institution.  

The addition of the FHSA category complements a series of other recent changes to modernize and enhance CDIC deposit protection to reflect how Canadians bank and save. The FHSA coverage category further underscores CDIC’s commitment to protecting the savings of Canadians planning for their future. With this expansion of coverage, nearly all personal deposit accounts at our members are fully protected by CDIC. 

Crypto-related services and crypto-asset activities, as well as the technology upon which they are based, may present opportunities for the financial system, but they could also present significant risks to consumer protection as well as the stability, integrity, privacy, and security of the financial system.  

To better understand risks posed by crypto-related services and crypto-asset activities, the Office of the Superintendent of Financial Institutions (OSFI), the Financial Consumer Agency of Canada (FCAC), the Canada Deposit Insurance Corporation (CDIC), and other federal agencies have been proactively monitoring how risks posed by crypto-asset activities are managed by entities. This work complements the Department of Finance’s ongoing work on the digitalization of money as part of the financial sector legislative review announced in Budget 2022.

Today, OSFI, FCAC, and CDIC are issuing this statement to all regulated entities that carry out crypto-related services or engage in crypto-asset activities¹. It reinforces the expectation that those federally regulated entities adhere to all applicable current regulatory requirements and any guidance when carrying out any crypto-related services or engaging in crypto-asset activities.

Digital assets such as cryptocurrencies and stablecoin arrangements as well as decentralized finance applications require prudent and thoughtful oversight and regulatory approaches, since innovations occur both within and outside of the mainstream financial system, sometimes both simultaneously. We support the principle endorsed by the Financial Stability Board, “same activity, same risk, same regulation”.

Duties and Responsibilities

Regulated entities are expected to clearly understand the risks of any planned crypto-asset activities and ensure that these risks have been properly addressed. Regulated entities must also ensure any crypto-asset activities comply with existing federal financial laws including the Bank Act, Insurance Companies Act, Trust and Loan Companies Act, and Proceeds of Crime (Money Laundering) and Terrorist Financing Act, as well as any regulations or guidance issued by federal and provincial regulatory agencies.

We will continue to closely monitor the risks crypto-assets may pose and will continue to engage with industry with the Department of Finance, the Bank of Canada, and other federal and provincial regulators as this sector evolves.

Prudential Regulation

• Entities should consult the recently published Interim Arrangements for the regulatory capital and liquidity treatment of crypto-asset exposures.
• To provide further clarity, OSFI has published its Digital Innovation Roadmap, which lays out OSFI’s digital priorities in an evolving digital finance ecosystem.

Consumer Protection

• FCAC expects regulated entities planning on developing or offering crypto-assets to notify the Agency and provide any information requested by FCAC. This will allow FCAC to assess the applicability of market conduct obligations as outlined in relevant legislation and associated regulations. 
• On June 30, 2022, the new and enhanced requirements came into force under the Financial Consumer Protection Framework. This framework significantly strengthened the consumer protection measures and regulated entities are expected to ensure compliance with all the applicable provisions when developing any new offerings. 

Deposit Insurance

• Crypto-assets are not eligible for deposit insurance under the CDIC Act.
• CDIC recently reinforced with its member institutions that clear, accurate, and accessible disclosure about deposit insurance protection to consumers is critical to ensure they have the information they need to make informed financial decisions.
• Under the CDIC Deposit Insurance Information By-law, each CDIC member institution is required to provide depositors with specific information about deposit protection and is expected to take reasonable and prudent steps to ensure that neither the member institution nor its business partners provide false, misleading, or deceptive information regarding deposit insurance protection or CDIC membership. 

For further information

For inquiries, please contact:

• OSFI: media-medias@osfi-bsif.gc.ca
• FCAC: media@fcac-acfc.gc.ca
• CDIC: media@cdic.ca

¹ “Crypto-asset” refers generally to any digital asset implemented using cryptographic techniques. The term “crypto-related activities” for the purposes of this letter includes, but is not limited to, acting as crypto-asset custodians; maintaining stablecoin reserves; issuing crypto and other digital assets; sub-custodial arrangements for crypto as well as dealing in any derivatives/securities financing transactions (SFTs), or other assets referencing crypto; acting as market makers or exchange or redemption agents in regards to crypto-assets; participating in blockchain and distributed ledger-based settlement or payment systems, including performing node functions; as well as related activities such as finder activities and lending in regards to crypto-assets. This listing is based on known existing or proposed crypto-related activities engaged in by federally regulated financial Institutions (FRFI) / federally regulated pension plans (FRPP), but given the changing nature of this area, other activities may emerge that fall within the scope of this. The inclusion of an activity within this listing should not be interpreted to necessarily mean that the activity is permissible for a FRFI/FRPP.

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. 

About CDIC

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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For further information

Brad Evenson
Director, Communications and Public Affairs
Tel: 613-943-4395
E-mail: media@cdic.ca