As a public purpose organization, Payments Canada welcomed the opportunity to provide feedback on the Department of Finance Canada’s consultation on the Review of the Canadian Payments Act.
In 2015, the Government made several changes to the Canadian Payments Act to reform the governance structure of Payments Canada, with an aim to ensure that core systems were operated for the benefit of Canadians, and support competition and innovation in the payments space. Three years later, and following the launch of Payments Canada’s Modernization initiative, the Department of Finance Canada is consulting on whether the governance changes were effective in achieving the intended public policy objectives of efficiency, safety and soundness, and user interests. The consultation also seeks feedback on how best to adapt Payments Canada's membership structure to ensure access to its systems is open and risk-based, and reflects developments in the payments ecosystem.
Payments Canada’s response to the consultation outlines how the governance changes made in 2015 have been instrumental in facilitating the transformation of Payments Canada and initiating the modernization of Canada’s core payments infrastructure and that of many of our member financial institutions. The strong corporate governance mechanisms put in place in 2015 have supported a healthy and informed debate with our members and stakeholders on priority objectives, and have enabled us to set in motion actions to achieve them. Going forward, Payments Canada is committed to continually working to ensure transparency and accountability, in effort of maintaining the full confidence of members, stakeholders and regulators.
Further, Payments Canada needs a legislative framework that allows the organization to remain highly effective and to lead change within the ecosystem. This includes introducing a new real-time payments capability, providing new access opportunities to regulated entities that wish to use our systems and benefit from their robust rules and legal frameworks and, in the process, spurring innovation in the marketplace.
We would like to acknowledge the open and collaborative approach that Finance Canada has taken in initiating its review of our enabling legislation, with Payments Canada, our members and stakeholders in the payments ecosystem. We are confident that this approach will result in high quality outcomes that enjoy broad-based support. We remain committed to working with Finance Canada as it completes its review and prepares for the legislative and regulatory processes to follow.
Read the full response here.