Thank you, Chair.
Clause 133 replaces the definition of “clearing and settlement system” and “clearing house” in section 2 of the Payment Clearing and Settlement Act to clarify that the act also applies to systems for the exchange of payments. This is to reflect the fact that as payment systems continue to evolve, the exchange, clearing and settlement functions are becoming independent. These amendments would essentially clarify the Bank of Canada's authority to designate payment exchanges to receive the risk management of payment systems in Canada.