An agreement on forming a cooperative capital markets regulatory system was announced this week by Canadian Finance Minister Joe Oliver and ministers of four Canadian provinces.
Statements from Mr. Oliver as well as ministries in Ontario, British Columbia, New Brunswick and Saskatchewan said the provinces and the federal government have agreed in principle to adopt the system, pending legislative approval from each of the four provinces.
Currently, Canadian provinces regulate capital markets individually.
The system will have a common regulator that will administer a single set of regulations to maintain efficient capital markets and manage systemic risk, according to the agreement signed by finance ministers Charles Sousa of Ontario and Michael de Jong of British Columbia, and justice ministers Gordon Wyant of Saskatchewan and Troy Lifford of New Brunswick.
Representatives of the federal government and the four provinces now will work on creating a draft of initial regulations. The system is targeted to be operational by fall 2015.
In the federal government's statement, Mr. Oliver said other provinces are invited to join in the regulatory system.