Jim Flaherty, Minister of Finance, tabled legislation today that introduces some modest reforms to its financial services legislative framework.

The proposed changes introduced today include: providing greater and more timely disclosure to consumers in areas such as deposit-type investment products and complaint-handling procedures; streamlining ministerial transaction approvals to make the process more efficient; creating a framework for the introduction of electronic cheque imaging; reducing the cost of mortgages for some borrowers by lowering the mortgage down payment consumers are required to make before the law requires the purchase of mortgage insurance; making it easier for credit unions to establish cooperative credit associations as a means of expanding their business opportunities.

The proposed legislation is largely based on a June 14 policy paper. Additionally, as mentioned in the Government’s new economic plan, the government proposes that Canadian financial institutions be allowed to add more foreign experts to their boards as long as the majority of directors remain Canadian residents.

“This legislation will help modernize our regulations, cut red tape and advance the interests of consumers,” said Flaherty.

To give Parliament enough time to consider this legislation, the sunset date for the financial institutions statutes was extended by six months to April 24, 2007.