Bank of Canada highlights importance of research function

The Bank of Canada’s Annual Report, published on Thursday, said the central bank’s research during the crisis played a pivotal role in policymaking.

In his opening message, Mark Carney, the governor of the Bank of Canada, said research and policy analysis was one of the leading priorities at the central bank in response to the financial crisis and the increasingly complex changes in the economy and financial system.

Carney said effective research at the central bank supported efforts in several key areas over the past year including on Canada’s inflation-targeting framework in preparation for the renewal of its agreement with the Canadian government. Research on the financial system also bolstered the central bank’s macroprudential and currency function by assisting in creating counter-cyclical buffers and the development of the country’s next generation of banknotes.

Carney said the central bank was also working to update its publishing and communication practices. “This annual report marks a departure from its predecessors. It is more concise and designed for easy navigation on the web,” he said.

Click here to read the report.