Finance committee  Well, it would be an issue of credit losses leading to failure. That would be an issue of insufficient capital, whereas the only thing a central bank can deal with would be a liquidity issue rather than a credit issue. If you take the situation of the last financial crisis, some

Finance committee  The money would be potentially available to lend on a secured basis to the Canadian system. In that sense the central bank is only ever a provider of liquidity and it lends against collateral. It's a liquidity lender of last resort potentially, but it's not a provider of a credit

Finance committee  It would be 200 billion renminbi or $30 billion Canadian.

Finance committee  It's there to provide liquidity in extreme circumstances to the financial system as a whole. It would not be a credit backstop for any particular investor.

Finance committee  The Bank of Canada would look at such things from a systemic point of view. But from the point of view of any particular bank, the managing of liquidity risk is OSFI's role.

Finance committee  No, we would lend in the event that we thought the financial stability considerations in Canada required it. That's not the same as backstopping any particular investor.

Finance committee  In practice, I think one would see dialogue with our colleagues at the Department of Finance and with other federal partners. But coming back to an earlier point, the bar would be very high. As I mentioned, during the last crisis we didn't have the need to activate the U.S. swap,

Finance committee  The swap is there to be drawn on in case of crisis.

Finance committee  The swap agreement would enable us, if we judged Canadian financial stability considerations to warrant it, to draw on that swap to lend to Canadian financial institutions. But I would observe, in relation to the last crisis, that we didn't activate any of our swap. Unlike some o

Finance committee  I'm not aware of that in the Bank of Canada's case, but that is something we could follow up on.

Finance committee  Well, right now the renminbi is not a free-floating currency. Its value is influenced by the Chinese authority, and that means that investors or people taking positions in the currency need to take that into account in terms of thinking about their risk exposure.

Finance committee  Typically agreements of this kind between central banks do remain confidential. The PBoC wanted it to be confidential in this case. To give you a flavour of what's in the agreement broadly, it provides for regular dialogue between the two central banks on the growth of the renm

Finance committee  There is a lot of speculation, I guess, on the potential growth of the renminbi as a reserve currency. There are other reserve currencies around the world other than U.S. dollars. I think you're more likely to see it used as a reserve currency in an environment where the capital

Finance committee  I can't comment on the geopolitics there. The Chinese, as a matter of fact, certainly have swap agreements in place with a large number of countries in different geographical positions.

Finance committee  I think the answer to that is that, as with any investment that a Canadian investor makes in any currency in any jurisdiction, they have to form a view themselves on the risks and returns from the investment. We focus on Canadian financial stability, but investors have to form th