Fintechs Canada sent its pre-budget submission to the standing House committee on finance — or FINA, as it’s often called. The committee has a mandate to consult with Canadians about their policy priorities and presents its findings in a report, which makes recommendations for the next federal budget.
The association’s pre-budget submission made three recommendations for the 2022 budget:
- Reduce transaction costs by amending the Canadian Payments Act to give RPAA-regulated fintechs access to our national payment systems, such as Payments Canada’s real-time rail.
- Create a more inclusive and equitable financial sector by amending the Canadian Payments Act to make payment system governance more representative of the needs of consumers and businesses.
- Put consumers and businesses in control of their financial data, as well as the movement of their money, by implementing a consumer-directed finance framework.
Access to payment systems and open banking are essential building blocks of a thriving fintech sector, which can create value across the entire Canadian economy. As we’ve seen in the UK, a supportive environment for fintechs can attract billions upon billions of dollars of investment and be a magnet for high-skilled immigration.
A number of studies have demonstrated that the countries where fintechs have had the most success are also those with more adaptive or permissive banking regulation. Canada has the opportunity to align its approach to financial sector policy with other advanced economies.
For more, click here to read our submission in full.