BOC’s Rogers Says Bank ‘Oligopoly’ Proof of Competitive Woes (2)

The Bank of Canada’s second in command called the country’s banking system an “oligopoly,” using the sector as a key example of how limited competition is restricting growth.

Speaking in Toronto on Thursday, Senior Deputy Governor Carolyn Rogers said the lack of business competition in Canada is a major reason for the country’s sluggish productivity growth and investment. She pointed to a concentration of market power in the country’s financial system.

“It would also be hard to argue, on any objective measure, that Canada’s banking system is anything other than an oligopoly,” she said, noting the country’s six biggest ...