On June 13, the Bank of International Settlements (BIS), in partnership with the Bank of Canada (BOC), announced the opening of the BIS Toronto Innovation Centre. This new hub aims to spearhead advancements in financial technology, inclusivity, and efficiency, marking a significant step forward in the evolution of the financial sector.

Bank of Canada Governor Tiff Macklem emphasized the importance of innovation in the financial industry. "As the financial sector continues to evolve, we need to innovate in different areas and apply skills that aren’t traditionally associated with central banking. By doing so, Canadians can share in the benefits of innovation," Macklem stated. The collaboration between the BIS and the BOC is seen as a crucial move to foster innovation across the region.

The Toronto Innovation Centre will concentrate on three of the BIS's six priority themes: open finance, regulatory and supervisory innovation, and next-generation financial market infrastructures. These themes aim to enhance the financial system's inclusivity and efficiency. The other three BIS priority themes—central bank digital currencies (CBDCs), green finance, and cybersecurity—will also play a role in shaping the centre's initiatives.

Agustín Carstens, BIS General Manager, hailed the inauguration of the Toronto hub as a significant milestone in the BIS's mission to develop a future-oriented financial system. “We are looking forward to collaborating with the Bank of Canada and other central banks to foster a more modern, efficient, and inclusive financial system,” Carstens added, highlighting the collaborative spirit driving this initiative.

The Toronto Innovation Centre will not only serve Canada but will also extend its influence and initiatives to Latin America and the Caribbean. This broader regional focus aims to leverage new technologies to create a more inclusive and efficient financial landscape.

In summary, the BIS Toronto Innovation Centre represents a forward-thinking partnership between the BIS and the Bank of Canada, aimed at driving innovation in the financial sector. With a focus on key areas such as open finance and regulatory innovation, the centre is set to play a pivotal role in shaping the future of finance, benefiting Canadians and fostering regional advancements in financial technology.