Canada has formally committed to establishing a national Open Banking system, marking a major policy development nearly a decade after initial consultations began. The Federal Government used Budget 2025 to confirm that it will proceed with a Consumer-Driven Banking framework, placing the country more firmly in line with international Open Banking initiatives already active in dozens of jurisdictions.
Regulatory structure and funding commitments
The budget outlines several structural decisions intended to support the framework’s launch. Oversight responsibilities, previously expected to sit with the Financial Consumer Agency of Canada, will instead shift to the Bank of Canada. According to officials from the Open Finance Network Canada (OFNC), this change brings the regime under an institution already involved in payments governance and systemic stability. The Central Bank will retain just over CAD 19 million from its remittances to support the work.
The government also intends to introduce a data mobility right within the Personal Information Protection and Electronic Documents Act. This would enable consumers to consent to moving their financial information between service providers. Additional funding, roughly CAD 25 million over five years, has been assigned to federal security agencies to develop and maintain protective measures associated with the programme.
Authorities have indicated plans to legislate third-party write access by mid-2027, covering services such as secure account switching and bill payments. This timeline generally aligns with expectations for the Real-Time Rail to be operational at scale.
OFNC representatives described the package as a long-awaited shift from policy discussion to practical implementation, emphasising that they intend to keep pushing for a framework that functions consistently across the financial sector.
According to the official whitepaper, more than 78 countries have adopted Open Banking rules, with dozens progressing toward Open Finance models that include investments, pensions and insurance. Canada has been slow compared with many peers, but sector observers note that the latest budget formally commits the government to a multi-year rollout.
Remaining issues and sector expectations
OFNC has urged policymakers to prioritise a legally defined implementation schedule, clear governance structures and full data portability for consumers and businesses. Representatives also brought up the need for predictable accreditation standards and access to important services such as payment initiation and small-business account coverage. Officials within the organisation said the shift of oversight to the central bank, along with the introduction of data-sharing rights and phased functionality targets for 2026 and 2027, signals substantive progress.
