Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements and other government-related news for professionals in the financial industry, banking, credit unions, insurance, payment processing, fintech, credit card issuing, asset management, venture capital, private equity, and crypto-currencies. Every Monday, we break down the most important updates in this space in under five minutes.

Want to track other GR news in adjacent industries? Don’t miss this week’s updates in ICT & Cybersecurity.

Dates: 2025-07-13 to 2025-07-19

📋 In This Week's Newsletter

• 🇨🇦 Canadian Federal GR News
• 🇺🇸 US Federal GR News
• 🗺️ Canadian Provincial GR News
• 💬 Government Consultations
• 📚 What We're Reading This Week

Canadian Federal GR News

Minister Champagne Attends G7 and G20 Finance Ministers’ Meetings

François-Philippe Champagne, Minister of Finance and National Revenue, concluded a series of meetings with global finance ministers and central bank governors in Durban, South Africa, under Canada's G7 presidency. The discussions centered on international financial architecture, global taxation, and strategies to boost Africa’s long-term economic prospects. Sustainable finance and supply chain resilience, particularly in critical minerals, were on the agenda, with Australia and South Korea joining talks on supply chain issues. Minister Champagne and Bank of Canada Governor Tiff Macklem co-chaired the fourth G7 FMCBG meeting, engaging counterparts from multiple countries including Indonesia, Australia, the UK, and Japan. The meetings included bilateral discussions to advance Canadian priorities regarding partnership, innovation, and reductions in trade barriers, and included responses to ongoing geopolitical uncertainty and the war in Ukraine.

Sources: Announcements: www.canada.ca

Canada Announces Launch of Pre-Budget Consultations

The Department of Finance Canada initiated its pre-budget consultation process ahead of Budget 2025. Canadians and industry stakeholders are invited to submit feedback through August 28, 2025, via the Canada.ca/YourBudget portal. The consultations focus on affordability, tax changes, new housing initiatives, and measures to support job creation, infrastructure projects, and defence industrial capacity. The Finance Minister will also undertake in-person meetings with stakeholders and individuals nationwide as part of the process.

Sources: Announcements: www.canada.ca

Coast Capital, Prospera, and Sunshine Coast Credit Unions Reveal Federal Amalgamation Plan

A notice in the Canada Gazette, Part I indicates Prospera Credit Union and Sunshine Coast Credit Union (both BC-based) will seek continuance as federal credit unions, followed by their amalgamation with Coast Capital Savings Federal Credit Union. Pending ministerial approval, the merged entity will operate under the Coast Capital Savings name and be headquartered in Surrey, BC. The amalgamation is contingent upon completion of all required continuances, and the date will be set by letters patent. The process stipulates a September 16, 2025 deadline for formal objections.

Sources: Gazette, Part I: www.gazette.gc.ca

Fiduciary Trust Company of Canada Applies for Reduction of Stated Capital

Fiduciary Trust Company of Canada has applied to the Superintendent of Financial Institutions for authorization to reduce its stated capital by up to $22 million, as per a June 13, 2025 special resolution. The reduction, subject to regulatory approval, would facilitate a distribution to the company’s sole shareholder. The application outlines authorized limits, delegated authority to the company’s CFO, and notes that approval is not guaranteed.

Sources: Gazette, Part I: www.gazette.gc.ca

Motus Bank Proposes Sale of Business to Coast Capital

Motus Bank has notified its intention to apply for federal approval to sell substantially all of its assets to Coast Capital Savings Federal Credit Union, pursuant to an agreement dated March 21, 2025. The application would also see Motus seeking continuance under the Canada Business Corporations Act. The transaction is scheduled for post-July 28, 2025, with the process subject to withdrawal at Motus's discretion prior to execution.

Sources: Gazette, Part I: www.gazette.gc.ca

BMO Life Insurance Companies Plan Amalgamation

BMO Life Insurance Company and BMO Life Assurance Company submitted notice of intention to amalgamate under section 250 of the Insurance Companies Act. The proposed merger, scheduled for November 1, 2025, will maintain operations under the BMO Life Assurance Company name and be based in Toronto. Final approval is pending completion of the federal review process.

Sources: Gazette, Part I: www.gazette.gc.ca

Canada’s International Investment Data: May 2025

Statistics Canada reported that Canadian investors acquired $13.4 billion in foreign securities in May 2025, led by US shares purchases. Conversely, foreign investors reduced their holdings of Canadian securities by $2.8 billion, marking the fourth consecutive month of foreign divestment.

Sources: Open Government Data Set: www.statcan.gc.ca

StatsCan: Household Economic Accounts, Q1 2025

The first quarter of 2025 saw the income gap in Canada reach a record high according to Statistics Canada. Households in the highest income brackets benefited from investment gains, while those in the lowest brackets experienced declining wages. Improved household saving and debt management were partially offset by declining real estate values, particularly affecting younger and less wealthy cohorts.

Sources: Open Government Data Set: www.statcan.gc.ca

Monthly Credit Aggregates Released for May 2025

Statistics Canada published updated data sets for Canada's monthly credit aggregates, capturing flows and balances for May 2025.

Sources: Open Government Data Set: www.statcan.gc.ca

Survey of Non-Bank Mortgage Lenders, Q1 2025 Published

Statistics Canada released first-quarter 2025 data for non-bank mortgage lenders, supplying updated figures on this segment’s lending activity.

Sources: Open Government Data Set: www.statcan.gc.ca

US Federal GR News

President Signs GENIUS Act Establishing Federal Stablecoin Regulation

President Donald J. Trump signed the "Guiding and Establishing National Innovation for U.S. Stablecoins Act" (GENIUS Act) into law on July 18, 2025. The Act provides the first federal regulatory framework for payment stablecoins, mandating 100% reserve backing in liquid assets, regular public disclosures, and strict marketing restrictions. It aligns state and federal standards, subjects issuers to the Bank Secrecy Act, and sets rules for anti-money laundering and sanctions compliance. The legislation grants the Treasury Department enforcement authority including sanctions and asset seizure, and places stablecoin holders' claims ahead of other creditors in resolution scenarios. The administration projects this will reinforce the dollar's position as the world's reserve currency and stimulate demand for US Treasuries.

Sources: White House Announcements: www.whitehouse.gov, White House Announcements: www.whitehouse.gov

US Banking Regulators Move to Roll Back 2023 Community Reinvestment Act Rule

The Office of the Comptroller of the Currency, Federal Reserve Board, and Federal Deposit Insurance Corporation jointly proposed rescinding the 2023 final rule on Community Reinvestment Act (CRA) regulations, which had not yet taken effect due to preliminary court injunctions. The agencies propose reverting to the previous 1995 regulatory framework, citing a need for regulatory stability and minimization of compliance burden. Public comments are requested by August 18, 2025. The proposal details restated definitions for 'small bank,' sets forward policy and transition considerations, and outlines revised recordkeeping requirements applicable to banks and their affiliates.

Sources: U.S. Federal Announcements: www.federalregister.gov

Federal Reserve Proposes Changes to Large Financial Institution Rating and Insurance Supervisory Framework

The Federal Reserve Board has issued a proposed revision to its Large Financial Institution (LFI) rating system and Insurance Supervisory Framework. The proposal would allow firms with one Deficient-1 rating and two satisfactory ratings to retain "well managed" status and eliminates automatic enforcement in cases of Deficient-1 ratings, shifting to a case-by-case approach. Comments on the proposal, which does not expand the scope of firms subject to the frameworks, are due by August 14, 2025.

Sources: U.S. Federal Announcements: www.federalregister.gov

US SEC Approves Rule Change to Extend FINRA Trade Reporting Facility Hours

The US Securities and Exchange Commission published a FINRA rule change extending the operating hours of its Trade Reporting Facilities (TRFs) from 8 a.m. to 4 a.m. Eastern Time. This adjustment enables real-time reporting and dissemination of OTC trades in NMS stocks executed during early morning hours, synchronizing TRF hours with current Securities Information Processor (SIP) operational timelines. The new hours, set to take effect in Q1 2026, apply to all FINRA/NYSE and FINRA/Nasdaq TRFs, with expanded obligations for member firms executing trades before 8 a.m.

Sources: U.S. Federal Announcements: www.federalregister.gov

FDIC Withdraws Proposed Rule on Parent Companies of Industrial Banks and Industrial Loan Companies

The Federal Deposit Insurance Corporation (FDIC) has withdrawn its August 2024 proposed rule regarding the evaluation of risks posed to industrial banks and industrial loan companies by their parent organizations. The FDIC indicated that if any changes to the regulatory treatment of such parent companies are pursued, they will initiate a new regulatory process at a future date.

Sources: U.S. Federal Announcements: www.federalregister.gov

Canadian Provincial GR News

British Columbia Implements New Mortgage Services Regulations

British Columbia approved its new Mortgage Services Act and accompanying regulations, superseding the Mortgage Brokers Act. The new regime, coming into force in fall 2026, expands regulatory requirements for mortgage brokers and enhances the BC Financial Services Authority’s oversight powers.

Sources: Provincial Announcement: news.gov.bc.ca

Alberta Heritage Fund Surges to $30 Billion

The Alberta government announced that its Heritage Savings Trust Fund increased by $2.8 billion, reaching a record $30 billion. The provincial plan targets a fund balance of $250 billion by 2050, outlining a phased investment approach with newly appointed governance.

Sources: Provincial Announcement: www.alberta.ca

Government Consultations

OSFI Consults on Draft Liquidity Adequacy Requirements Guideline

The Office of the Superintendent of Financial Institutions (OSFI) commenced a 60-day consultation on proposed changes to the Liquidity Adequacy Requirements Guideline, including new funding classifications for non-bank deposits and structured notes. Feedback is due by July 22, 2025.

Sources: Canadian Government Consultations: www.osfi-bsif.gc.ca

What We're Reading This Week

• JPM Mulls Over Monetizing Client Data: Will it Alter Fintech Business?: JPMorgan considers the implications of leveraging client data for fintech, raising questions about competitive impacts.
• Binding regime for investment disputes inches closer to reality: Canada progresses towards a system for binding resolution of securities investment disputes.
• Northern Trust Advances Tokenized Finance Innovation in Australia through Project Acacia: Northern Trust pilots tokenized finance solutions via an initiative in Australia.
• Market Factors: Two big reasons to worry about your portfolio: Analysis from market strategists on recent risks to investor portfolios.
• Market Analysis: July 16th, 2025: Equity markets reviewed in mid-July assessment of economic and sectoral drivers.
• Market Analysis: July 17th, 2025: Ongoing market review examines earnings and geopolitical developments.
• Modernizing cross-border payments: New Mastercard study reveals the path to strengthening SMEs’ success in Latin America and the Caribbean: Mastercard report examines SME payment solutions in Latin America and the Caribbean.
• When you can retire is determined by this one number – and it’s not your age: Financial planners advocate a savings multiple over age as the primary target for retirement readiness.
• House votes on trio of cryptocurrency bills aimed at legitimizing the industry: U.S. House of Representatives passes multiple bills seeking to formalize cryptocurrency industry standards.

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