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: 2025-08-24 to 2025-08-30

📋 In This Week's Newsletter

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

Canadian Federal GR News

Regional Tariff Response Initiative Announced for Prairie Businesses

The Government of Canada announced new support for businesses in the Prairies through the Regional Tariff Response Initiative (RTRI) on August 29 in Edmonton. This initiative targets companies facing economic uncertainty due to tariff-driven export and supply chain disruptions. RTRI funding is available to companies across Manitoba, Saskatchewan, and Alberta to help improve productivity, diversify markets, strengthen supply chains, and boost domestic trade. The program also supports business-focused not-for-profits in managing trade shocks. RTRI operates in concert with broader tariff support measures such as the Large Enterprise Tariff Loan Facility, the Business Development Bank of Canada’s Pivot to Grow initiative, and enhancements to the Strategic Innovation Fund. Details regarding eligibility and application processes are set for release in the near term.

Sources: Announcements: www.canada.ca

Regional Tariff Response Initiative Opens to Atlantic Canada

Atlantic Canada Opportunities Agency (ACOA) announced on August 29 that businesses in Atlantic Canada can now apply to the Regional Tariff Response Initiative (RTRI), designed to assist small and medium-sized enterprises in responding to recent trade shocks. The goal is to support projects that enhance productivity, expand markets, reinforce supply chains, and drive domestic trade. This move is part of a package of tariff response measures, including support for larger enterprises, a pivot program at BDC, and steel sector support via the Strategic Innovation Fund. Information sessions are planned for applicants in the coming weeks.

Sources: Announcements: www.canada.ca

FedNor Funds Fuel SME Innovation in Northern Ontario

On August 26, FedNor announced an investment of $1.05 million for two initiatives led by NORCAT in Northern Ontario. The Regional Artificial Intelligence Initiative will receive $700,000 to provide advisory services and funding to innovative SMEs for AI adoption and commercialization. Additionally, the Innovation Acceleration Program will receive $350,000, supporting its renewal for three more years, with financial assistance enabling SMEs to acquire equipment, expand staff, conduct R&D, and commercialize new technology. In total, these programs are projected to benefit over 35 SMEs and bolster AI capabilities and operational modernization in the region.

Sources: Announcements: www.canada.ca

Canada Imposes Asset Freeze Sanctions Related to Moldova

On August 28, Global Affairs Canada announced new sanctions on individuals and entities linked to Russia's interference in Moldova. Under the Special Economic Measures (Moldova) Regulations, Canadians are now prohibited from dealing with the property of listed individuals and entities or providing related financial services, with individuals also being declared inadmissible under the Immigration and Refugee Protection Act. Among those sanctioned are Evghenia Gutul, Mihail Vlah, and the Victory/Pobeda Political Bloc. The measures target activities ahead of Moldova's parliamentary elections and affect Canadian entities involved in global payments or cross-border financial arrangements.

Sources: Announcements: www.canada.ca

Fifth Annual Corporations Canada Diversity Disclosure Report Released

On August 28, Minister Mélanie Joly announced the publication of the 2024 Corporations Canada diversity disclosure report, marking five years of federal review of diversity in board and senior management positions among distributing corporations. The report shows increased representation in these roles since 2023. Though the official statement references potential contributions to corporate governance and global competitiveness, the report is intended for use by federal distributing corporations subject to reporting requirements under the Canada Business Corporations Act.

Sources: Announcements: www.canada.ca

Second Quarter Corporate Financials: Operating Profit Declines in Non-Financial Industries

Statistics Canada reported that Canadian corporations’ operating profit fell by $3.2 billion (-1.7%) from Q1 to Q2 2025, totaling $190.9 billion. The decrease was mainly attributed to weaker performance in non-financial sectors. Nonetheless, operating profits remained $2.9 billion higher (+1.6%) compared to the same period in 2024.

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

Canada’s Current Account Deficit Reaches Historic High in Q2 2025

The country’s current account deficit widened by $19.8 billion to $21.2 billion in the second quarter of 2025, hitting a new record, according to Statistics Canada data published August 28. This development signals a significant shift in international payments patterns heading into the latter half of the year.

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

US Federal GR News

CFPB Proposes Rule Defining 'Risks to Consumers' Under Supervisory Authority

On August 26, the Consumer Financial Protection Bureau proposed a rule that would define 'risks to consumers' in the context of its Section 1024 supervisory designation proceedings under the Consumer Financial Protection Act. The proposed definition covers conduct likely to result in significant harm tied directly to consumer financial products or services and clarifies the Bureau’s ability to apply supervisory authority over certain nonbank financial firms.

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

SEC Approves Accelerated FINRA Arbitration for Eligible Parties Based on Age or Health

The Securities and Exchange Commission approved, effective August 26, FINRA's adoption of Rules 12808 and 13808, establishing accelerated arbitration processing for parties aged 70 or older, or with qualifying health conditions.

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

Fixed Income Clearing Corporation Proposes Basis Risk Haircut for MBS Margin Models

The Fixed Income Clearing Corporation filed a proposed rule change on August 29 to add a pool-to-be-announced (TBA) basis risk haircut charge into its mortgage-backed securities (MBS) haircut, Minimum Margin Amount, and Margin Proxy models.

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

White House Outlines Recent Economic Indicators: Prices, Markets, and Growth

On August 29, the White House issued a summary noting Labor Day gas prices at five-year lows, falling domestic airfares, and reduced hotel and car rental rates. Mortgage rates hit a 10-month low, crediting improved affordability.

Sources: White House Announcements: www.whitehouse.gov

Canadian Provincial GR News

Alberta Raises Lending Limit on Feeder Associations Loan Guarantee Program

The Alberta government increased the Feeder Associations Loan Guarantee Program limit from $150 million to $225 million, expanding access to low-cost capital for livestock producers amid rising cattle prices.

Sources: Provincial Announcement: www.alberta.ca

Ontario Expands Funding for Futurpreneur Canada

Ontario announced an additional $2 million investment in Futurpreneur Canada on August 26, supporting 320 young entrepreneurs aged 18-39 through financing and mentorship across the province.

Sources: Provincial Announcement: news.ontario.ca

What We're Reading This Week

• Ontario securities regulator files to force former Bridging Finance executives into bankruptcy: Coverage of OSC's recent court actions regarding high-profile private credit figures.
• Opinion: Who watches those who watch our payments? The growing power of credit card giants: Commentary on oversight and competitive dynamics in payment systems.
• Joly asks Canada’s financial sector to lend to defence companies: Examination of Minister Joly's recent call for private sector financing of Canada's defence industry.
• Calgarian who ran $150-million 'classic Ponzi scheme' ordered to pay $8.8 million in penalties: ASC ruling on sanctions for fraudulent investment activity.

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