Banks praised for soundness

OTTAWA — Canada has again won the top rating in the world for the soundness of its banking sector, a fundamental strength many credit for the country’s ability to escape the worst of the global recession.

OTTAWA — Canada has again won the top rating in the world for the soundness of its banking sector, a fundamental strength many credit for the country’s ability to escape the worst of the global recession.

The World Economic Forum rankings released Tuesday places Canada’s banks as the soundest in the world for the second straight year, followed by New Zealand and Australia.

The banking sector is one of the criteria the Geneva-based organization uses to rate countries in terms of overall competitiveness, and was a factor in Switzerland replacing the United States at the top of the overall scale.

Canada moved up to ninth place from 10th last year and from 13th in 2007 for overall competitiveness.

The much-derided U.S. banks were judged 108th soundest, near the bottom of the 133 countries rated.

A spokesman for the Institute for Competitiveness and Prosperity in Toronto says that over the past two years Canada has moved past the United Kingdom, South Korea, Hong Kong and the Netherlands in the rankings.

Finance Minister Jim Flaherty has often referred to the strength of Canada’s banking sector as a key reason the recession, while deep, was still milder in Canada than in many other countries.

Unlike in many western countries, Canada did not experience a bank failure and no government funds were used to prop up the financial sector.

In an interview on British television following the weekend’s G20 meeting, Flaherty said the Canadian banks’ managed to maintain adequate capital reserves throughout the crisis.

“Our banks did not get into a lot of trouble because they were adequately capitalized . . . and they were obliged to maintain that because not only do we regulate but we enforce our regulations.”

Just Posted

Men posing as repo men attempt to steal vehicle in Red Deer County

Two men attempted to steal a utility vehicle from a Red Deer… Continue reading

Red Deerian spreads kindness with one card at a time

One Red Deerian wants to combat bullying by spreading kindness in the… Continue reading

Bowden baby in need of surgery

“Help for Alexis” Go Fund Me account

PHOTO: First Rider bus safety in Red Deer

Central Alberta students learned bus safety in the Notre Dame High School… Continue reading

WATCH: Annual Family Picnic at Central Spray and Play

Blue Grass Sod Farms Ltd. held the Annual Family Picnic at the… Continue reading

Woman has finger ripped off at West Edmonton Mall waterslide

SASKATOON — A Saskatchewan woman says she lost a finger after her… Continue reading

Uncertainty looms over Canada’s cannabis tourism, but ambitions are high

TORONTO — Longtime marijuana advocate Neev Tapiero is ready for the cannabis-driven… Continue reading

Feds mulling safeguards to prevent ‘surge’ of cheap steel imports into Canada

OTTAWA — The federal government extended an olive branch of sorts to… Continue reading

Ontario govt caps off summer session by passing bill to cut Toronto council size

TORONTO — The Ontario government passed a controversial bill to slash the… Continue reading

Updated:Italian bridge collapse sends cars plunging, killing 26

MILAN — A 51-year-old highway bridge in the Italian port city of… Continue reading

Saudi Arabia spat affecting Canadians embarking on hajj, community members say

TORONTO — Members of Canada’s Muslim community say recent tensions between Ottawa… Continue reading

Tug carrying up to 22,000 litres of fuel capsizes in Fraser River off Vancouver

VANCOUVER — The smell of diesel filled the air as crews worked… Continue reading

Nebraska executes first inmate using fentanyl

LINCOLN, Neb. — Nebraska carried out its first execution in more than… Continue reading

Most Read


Five-day delivery plus unlimited digital access for $185 for 260 issues (must live in delivery area to qualify) Unlimited Digital Access 99 cents for the first four weeks and then only $15 per month Five-day delivery plus unlimited digital access for $15 a month