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by Cheng Hoon Lim,  Assistant Director in the Western Hemisphere Department of the IMF. She reviews the department’s financial surveillance work and serves as the mission chief for Canada. Ms. Lim also has extensive experience in financial and capital markets. After a short secondment at the U.K. Financial Services Authority, she spent 13 years in the Monetary and Capital Markets Department of the IMF where she was involved in a wide range of issues, including on financial crisis and sovereign debt restructuring, the development of analytical tools to assess systemic risk and bank soundness, macro-financial surveillance of advanced and emerging economies, and the delivery of technical assistance to the Asia and Pacific region. She also led the IMF’s financial sector assessment program (FSAP) to South Africa, Australia and Indonesia.   Canada’s housing market is sizzling hot and the Bank of Canada has a monetary policy dilemma: increase interest rates to cool the hou...

Effective interest rates: October 2015 The effective rate paid on households’ outstanding time deposits decreased by 7bps to 1.52% in October and the rate for households’ new time deposits increased by 4bps to 1.55%.   The effective rate on the stock of outstanding secured loans (mortgages) decreased by 1bp to 3.03% in October and the new secured loan rate fell to 2.52%, a decrease of 5bps on the month.  BoE Financial Stability Report, December 2015 The rate on outstanding unsecured personal loans decreased by 3bps to 6.81% in October and the new unsecured personal loan rate decreased by 2bps to 6.95%. The credit card rate (all balances) fell to 10.38%, a 15bps decrease on the month (see Table A for households’ effective rates).  The effective rate paid on private non-financial corporations’ (PNFCs) outstanding time deposits increased by 1bp to 0.68% in October, and the rate on PNFCs’ new time deposits was unchanged at 0.42%. The rate on PNFCs’ outst...