Canadas Banks Can Survive A Severe Depression with No Bailout

[Economy 52,844]

https://www.google.ca/amp/s/business.financialpost.com/news/economy/bank-of-canada-warns-of-excess-business-household-debt-from-covid-19/amp

 

Canadas Banks that have been ranked #1 safest in the world many years in the past and survived the 2008 crisis with no bankruptcies continue their extreme resilience

 

A severe stress test simulating a worst case scenario for the economy from Covid-19 impacts shows none of the major banks would fail

 

Canadas Banks have been extremely profitable the last 20 years thanks to a long housing boom and Corporate loan booms and regulations requiring a good portion of that money to stay in cash reserves to be able to weather extreme shocks

 

An earlier study also found all major banks could survive a 50% collapse in realestate and surge in loan default rates