TORONTO — Canada's big banks have done better than expected this year, but CEOs say trade uncertainty is still an overhang that will take some time to shake.
Speaking at the Scotiabank Financials Summit in Toronto, banking leaders say the future of the Canada-U.S.-Mexico free trade deal is the biggest unknown as they look to drum up more business.
They say many consumers and businesses are holding back on big decisions because of the combined uncertainty over trade, interest rates and the economy as a whole, leaving banks to focus heavily on efficiencies to make the most of existing activity.
BMO chief executive Darryl White says there already is some more certainty in the U.S. after the big new tax law passed, while Canada is lagging because the future of trade with the U.S. is still unclear.
He says there is more certainty than at the start of the year, when it wasn't clear who would lead Canada or what the policy direction would be, but there still aren't hard numbers on what federal business support will look like.
Scotiabank chief executive Scott Thomson says trade uncertainty is holding back the bank's investments in Mexico, but that it's preparing the foundations for when there is a firmer footing.
This report by The Canadian Press was first published Sept. 3, 2025.
Companies in this story: (TSX:BMO; TSX:BNS)
Ian Bickis, The Canadian Press
