Careers

Role

The Department of Monetary and Financial Analysis is responsible for questions relating to overall financial stability in Canada, including the examination of certain clearing and settlement systems that could pose systemic risk, and the assessment of the financial system's vulnerability to potentially stressful scenarios. The department also contributes to the formulation and implementation of monetary policy by conducting research and regular monitoring of the financial sector. These activities require collecting information on banks and other financial institutions. The Bank's published monetary and credit aggregates and administered interest rates are calculated from these data.

Departmental economists and analysts examine and analyze issues such as: the link between key macroeconomic variables (such as output and inflation) and financial variables such as monetary and credit aggregates and asset prices; the monetary transmission mechanism; the monitoring of risks to overall financial stability, the structure of financial markets; payment, clearing and settlement systems; and the development of federal financial sector policy.

Organization

The Monetary Policy Analysis Division monitors, analyzes, and performs research on monetary and financial developments in Canada. Through contacts with financial institutions and through analyses of aggregate data such as money and credit aggregates as well as micro-data, the division assesses the implications of current financial developments for monetary policy. The division is also responsible for coordinating the development of a dynamic stochastic general equilibrium model for policy analysis in which financial variables play an active role in the monetary transmission mechanism.

The Financial and Monetary Studies Division focuses on the development and application of advanced modelling and econometric techniques to study fundamental issues relevant to the Bank of Canada's monetary policy and financial system functions, from a financial perspective. The division aims to produce leading-edge research and policy advice of the highest quality.

The Macro Financial Analysis Division monitors developments, and develops tools to measure risks, in financial institutions and markets that may have an impact on the financial system as a whole. This is partly done through the assessment of the financial system's vulnerability to potential stresful scenarios. The division is also responsible for research and analysis of developments and trends in the financial system and the dissemination of results to senior Bank management, federal agencies with financial system responsibilities, and the public. It also has editorial responsibilities for the Financial System Review. The Division works in close collaboration with staff throughout the Bank, other government agencies, and international groups and bodies concerned with financial stability.

The Infrastructure Development Division is responsible for research and policy advice on issues relating to financial sector infrastructure, that is, the policies that influence behaviours in the financial system. The ultimate objective of the work of the division is to improve the soundness and efficiency of the financial system. To achieve these goals, the division conducts research and provides policy advice to support the Bank's role in the oversight of systemically important payment, clearing and settlement systems. As well, the division researches and contributes to the development of financial sector policy, such as that governing financial institutions and their regulation, often jointly with other agencies. Achieving the goals of the division often involves collaboration with other federal agencies, and with international bodies concerned with financial stability.

The Data Resources Division develops and maintains the knowledge, systems, and procedures needed to produce high-quality financial data. The division manages production databases containing monetary and credit aggregates and their components, interest rates, and data on activities in the capital markets. Normal business includes evaluating data quality and evaluating and communicating with data sources, manipulating data to construct and report on the various aggregates, and evaluating and recommending statistical and accounting methods and concepts. The division maintains real-time databases, and contributes to the economics departments' meta data repository. The division is also responsible for delivering timely and accurate financial data to government and international agencies and to the general public.