Economics
Banking Regulator Opens Door to Easing Canadian Mortgage Rules
- OSFI defends rules, says it makes changes when warranted
- Industry groups calling for lower rate on stress tests
Homes under construction stand in Toronto.
Photographer: James MacDonald/BloombergThis article is for subscribers only.
Canada’s banking regulator defended tougher mortgage underwriting rules blamed recently for a slump in the nation’s housing market, but left open the possibility that regulations could ease if conditions change.
Carolyn Rogers, the No. 2 at the Office of the Superintendent of Financial Institutions, said tougher mortgage lending rules remain a prudent way to guard against risks in the marketplace. Still, officials are continually assessing conditions.