MNI EXCLUSIVE: Canada Finance Dept Beefed Up Housing Oversight

--Sr. Housing Director Added To Finance Ministry Payroll In Summer

--Deputy Minister Signed June Request To Help Tackle Complex File

By Greg Quinn

     OTTAWA (MNI) - Canada's finance department created a new executive position

in June to track the housing market, saying it was needed to keep up with a

complicated file, according to a memo obtained by MNI.

     The Deputy Minister signed off on a new Senior Director for Housing Finance

in mid-June and the decision took effect around the same time, according to a

four-page document recently obtained through a freedom of information request.

     The position was needed "to address a higher level of complexity in

functions" read the request to add the post to the capital markets division. 

     Real estate is a key area of concern for regulators, after home prices

surged in Vancouver and Toronto and families rang up record debt loads. 

     Federal watchdogs toughened mortgage requirements to curb speculation in

2018 and the market is starting to heat up again this year. The BOC has also

resisted cutting the G7's highest policy interest rate from the current 1.75% in

part to ensure froth doesn't return.

--MNI Ottawa Bureau; +1 613-314-9647; email: greg.quinn@marketnews.com

[TOPICS: M$C$$$,MT$$$$,MX$$$$]