Thank you very much.
Good morning. My name is Adriana. I am the executive director of Fintechs Canada.
Thank you for the invitation to appear today to discuss our industry's recommendations as part of the committee's study on the pre-budget consultations for the 2026 federal budget.
Fintechs Canada is the leading voice for Canada's financial technology sector, including providers of enabling technologies and fintechs in lending, payments, crypto assets and more. Collectively, our more than 50 members serve millions of Canadians from coast to coast.
We commend the government for the important progress introduced in both budget 2025 and the 2026 spring economic update, which included meaningful financial sector reform that will make the financial sector work better and harder for Canadians and our small businesses. Moreover, the ongoing work toward a national anti-fraud strategy is a welcome step toward making our financial sector more secure.
We are at an inflection point in global finance, and more work remains. In view of this, we encourage the government to build on this progress. Fintechs Canada has provided details in our pre-budget submission to the committee, and I will take this opportunity to highlight just a few key measures.
First, on competition, the government should build on this important momentum to increase competition in financial services by focusing on implementation. That means delivering timely and balanced frameworks for consumer-driven banking—or open banking—and stablecoins through regulation that preserves competition and encourages innovation.
We also need to make it easier for Canadians to switch providers, through eliminating fees, which is an ongoing effort, but also by reducing unnecessary friction that limits consumer choice. Greater competition also means a sustained focus on Canada's real-time payments infrastructure, ensuring a balanced access for fintechs, challengers and incumbents alike. For the real-time rail, for example, to deliver on its full potential, broad participation and adoption are essential. Similarly, fair and non-discriminatory access to essential payment technologies, such as near field communication, is essential to promoting consumer choice.
Second, our SME financing market remains highly concentrated. It limits options, and it drives up borrowing costs for small businesses. Government-backed programs, such as the Canada small business financing program, or CSBFP, are designed to share risks with lenders to fill this gap. However, the existing eligibility criteria are primarily designed for prudentially regulated deposit-taking lenders and are not really aligned with new innovative business models that fintechs can bring to the table. Eligibility for this program should therefore be reformed and expanded to allow more capital to flow into small Canadian businesses.
Third and last, Canada has a major opportunity to strengthen both innovation and our monetary sovereignty through a competitive stablecoin framework that supports competition and enables Canadian dollar-backed stablecoins to scale and compete internationally. To do so, these products should be allowed to offer features such as yields or rewards that incentivize consumer adoption and foster viable business models here in Canada. A competitive ecosystem for Canadian stablecoins would support more efficient payments, reduce transaction costs and reinforce the role of the Canadian dollar in emerging digital markets today.
Fintechs Canada will continue to work collaboratively with government to support policies that foster innovation in financial services, enhance competition and deliver better outcomes for Canadians.
I thank you again for your invitation. I look forward to your questions. Thank you.