Canadians' Debt-to-Income Ratio Decreases: StatCan

The amount Canadians owe relative to their income has dropped in the second quarter, according to Statistics Canada. This decline is reflected in the agency's report, which shows that household credit market debt as a proportion of household disposable income has fallen to 175.5 percent on a seasonally adjusted basis. This represents a decrease from the first quarter's 176.7 percent. In simpler terms, for every dollar of household disposable income, Canadians had $1.76 in credit market debt during the second quarter.

Key Takeaways:

• The household credit market debt as a proportion of household disposable income decreased to 175.5 percent in the second quarter, according to Statistics Canada.
• This decline is a decrease from the first quarter's 176.7 percent.
• The proportion of credit market debt to household disposable income was $1.76 to $1 in the second quarter.
• Katherine Gibson was appointed as the permanent Chief Financial Officer (CFO) of Royal Bank of Canada, effective immediately.
• Gibson has been with the bank for 22 years and has extensive experience in leading global teams and major strategic initiatives.
• Canaccord Genuity Group Inc. signed a deal to buy the wealth management business, Brooks Macdonald Asset Management (International) Ltd., for $49.6 million in cash.
• The deal is part of the subsidiary Brooks Macdonald Group plc.

Statistics:

• The ratio of household credit market debt to household disposable income was 175.5 percent in the second quarter.
• This represents a decrease from the 176.7 percent in the first quarter.
• The proportion of debt to income was $1.76 to $1 in the second quarter.
• Katherine Gibson has 22 years of experience at Royal Bank of Canada.
• The purchase price of Brooks Macdonald Asset Management (International) Ltd. was approximately $49.6 million in cash.

Sources:

• [Star wire services]
• [Statistics Canada]