Finance
With millions of mortgages coming due, finance minister expects banks ‘to work with’ Canadians | CBC News
Finance Minister Chrystia Freeland expects banks will follow a new series of rules and guidelines designed to protect Canadian homeowners, millions of whom are set to renegotiate loans at potentially higher rates.
“The thing that I hear the most right now is people are concerned about interest rates, especially people who have mortgages and are concerned about the renewal of their mortgages,” Freeland said in an interview airing Sunday on Rosemary Barton Live.
“And I think that is very understandable,” she told CBC’s chief political correspondent Rosemary Barton.
A report released by Royal LePage suggests over three million Canadians are facing mortgage renewals in the next 18 months. Many can expect significantly higher monthly payments as a result.
That’s causing anxiety among homeowners, some of whom told CBC News they expect to make significant lifestyle changes to accommodate the higher cost.
Featured VideoCBC’s chief political correspondent Rosemary Barton speaks with Chrystia Freeland, Canada’s deputy prime minister and minister of finance, about the new Canada Mortgage Charter and whether it will help Canadians in need.
Bikramdeep Singh told CBC News in Vancouver that he expects his mortgage payments to rise by 30 to 40 per cent when it is renewed next year.
“That’s going to be a significant chunk of money I’m spending every month,” the homeowner said earlier this week. “That’s going to affect definitely my lifestyle. I’m going to make adjustments.”
In Surrey, B.C., Kevin Larkin is facing renewal in January.
“I’ve been running the numbers, and I don’t see how I’m going to be able to renew and afford this,” he said. “And it’s unfortunate. I’m a professional. I work. I’m trying to support a family.”
As part of the fall economic statement released on Tuesday, Freeland introduced a Canadian Mortgage Charter, a non-binding set of guidance and expectations Ottawa has laid out for the banks in relation to mortgages.
The charter — which does not have the force of law — includes measures including the ability to temporarily extend amortization periods, ending a stress test when switching lenders at the time of renewal, and waiving some fees.
Asked whether banks could be trusted to follow the guidelines without a clear enforcement mechanism, Freeland said she believed the interests of the government, banks and everyday Canadians are aligned on this issue.
“It is my hope — but also really my belief — that the banks are going to work with us, the government, and work with Canadians to act on these commitments.”
Featured VideoFinance Minister Chrystia Freeland presented a trimmed-down economic update aimed at avoiding a recession and trying to spur affordable housing development, but is it enough to help struggling Canadians?
“It’s a serious thing for the finance minister to publish — in black-and-white, in both official languages — our expectations for how the banks will be supporting their customers. That in and of itself is a big deal,” she said.
Freeland noted that it was important for Canadian homeowners to be aware of the rules and know what to expect when they speak to their banks.
“Canadians need to know about it, that’s why I emphasize it so much,” she said.
Focus on interest rates
Freeland also didn’t rule out additional measures in a spring budget.
“We’re going to watch it like a hawk — like a bunch of hawks, at finance — and definitely, we’re prepared to do more as needed.”
Freeland, who is also deputy prime minister, said her other focus is for broad improvement of the state of the economy, such that the Bank of Canada feels comfortable lowering rates without fear of renewed inflation.
“Because that really is the best outcome for everybody,” she said.
Inflation has fallen in Canada from a high of 8.1 per cent in June 2022 to 3.1 per cent last month.
Meanwhile, the Bank of Canada’s benchmark interest rate has risen to five per cent, and bank governor Tiff Macklem hinted this week that might be enough to wrangle rising prices.
Freeland emphasized that it was important Canada has so far been able to pull off a “soft landing” from the disruption of the COVID-19 pandemic and avoid an intense recession.
Featured VideoCanada’s deficit is expected to grow to $1.4 trillion in the next five years. Andrew Chang explains that, while high national debt differs from personal debt, experts say it does come with a price.
Conservative Leader Pierre Poilievre harshly criticized the government’s approach when it was released earlier in the week.
“With this $20 billion of costly new spending, this update can be summed up very simply: prices are up, rent up, debt up, taxes up, time’s up,” he said.
“Common-sense Conservatives will vote no confidence on this disgusting scheme. After eight years of this prime minister, he is not worth the cost. And today he’s adding another $20 billion to inflation, which will put pressure on interest rates.”
Featured VideoConservative Leader Pierre Poilievre criticizes the more than $20 billion in new spending promised in the federal government’s fall fiscal update.
Solid Revenue Growth Coupled with High Gross Profit Margin (73%) and Non-IFRS Profit (RMB 376 Million)
BEIJING, March 26, 2025 /PRNewswire/ — Bairong Inc. (the “Company”, “we” , “us” or “our” ; HKEX: 6608), a leading cloud-based AI turnkey service provider, today announced the consolidated results of the Company for the year ended December 31, 2024.
Mr. Zhang Shaofeng, our founder, chief executive officer and chairman of the Board, commented:
“As a leading cloud-based AI turnkey service provider, Bairong achieved revenue growth and sustained profitability in 2024 when the industry as a whole was weak. We also generated an operating cash flow of RMB 303 million in 2024, which fully demonstrates the resilience of our business. In terms of technology and products, our VoiceGPT continues to iterate rapidly, and at the same time, new products such as the digital human All – in – One Machine AvatarGPT and Cybotstar Agent Platform have been further implemented. In 2025, we will increase our investment in new businesses and new scenarios, especially in the two fields of Pan-financial AI and Pan-industry AI, so as to achieve a vertical and horizontal business layout supported by AGI.”
Financial Summary
|
Year ended December 31, |
|||
|
2024 |
2023 |
Change |
|
|
(RMB in thousands, except percentages) |
|||
|
Revenue |
2,929,267 |
2,680,915 |
9 % |
|
Model as a service (“MaaS“) |
932,473 |
891,248 |
5 % |
|
Business as a service (“BaaS“) |
1,996,794 |
1,789,667 |
12 % |
|
BaaS – Financial Scenario |
1,410,695 |
1,184,728 |
19 % |
|
BaaS – Insurance Scenario |
586,099 |
604,939 |
(3 %) |
|
Gross profit |
2,141,712 |
1,954,532 |
10 % |
|
Operating profit |
285,234 |
346,886 |
(18 %) |
|
Profit for the period |
266,029 |
335,259 |
(21 %) |
|
Non-IFRS measures |
|||
|
Non-IFRS profit for the period |
376,051 |
375,064 |
— |
|
Non-IFRS EBITDA |
486,176 |
463,782 |
5 % |
Revenue
Our total revenue increased by 9% from RMB2,680.92 million for the year ended December 31, 2023 to RMB2,929.27 million for the year ended December 31, 2024, primarily attributable to our enhanced capabilities of providing products and services despite a challenging macroeconomic and consumption environment.
For the year ended December 31, 2024, our MaaS business reported revenue of RMB932.47 million, representing an increase of 5% year-over-year. During the Reporting Period, the number of Key Clients reached 211, while average revenue per Key Client was RMB3.37 million. Our Key Client retention rate was 97%.
Key metrics of MaaS
|
Year ended December 31, |
|||
|
2024 |
2023 |
Change (%) |
|
|
(unaudited) |
(unaudited) |
||
|
(RMB in thousands, except percentages) |
|||
|
Revenue from MaaS |
932,473 |
891,248 |
5 |
|
Revenue from Key Clients(Note) |
711,328 |
744,489 |
(4) |
|
Number of Key Clients |
211 |
213 |
(1) |
|
Average revenue per Key Client |
3,371 |
3,495 |
(4) |
|
Retention rate of Key Clients |
97 % |
99 % |
(2) pct |
|
Note:“Key Clients” are defined as paying clients that each contributes more than RMB300,000 total |
|||
In 2024, our BaaS – Financial Scenario business reported revenue of RMB1,410.70 million, representing a year-over-year increase of 19% from RMB1,184.73 million for the year ended December 31, 2023. During the Reporting Period, we maintained growth against the industry’s downturn, with our brand gaining increasing recognition from more and more partners. A significant number of institutions prioritize choosing us as their partner of choice, indicating that the brand effect has been established.
MOBILE, Ala. (WALA) – A former finance director for the City of Semmes has been arrested and charged with theft by deception and credit card fraud, according to jail records.
According to the Mobile County Sheriff’s Office, 48-year-old Heather Davis is accused of embezzling between $3,000 to $6,000 from her current employer, McDonald’s.
According to a post on the City of Semmes Facebook page from March 4, 2023, Davis began working for the city in February in 2023 as the finance director.
However, Semmes Mayor Brandon Van Hook told FOX10 News Davis has not worked for the city in over a year.
The Mobile County District Attorney’s Office said these charges do not stem from her position with the City of Semmes.
Davis was also a former city clerk for the City of Satsuma.
Davis turned herself in today after a warrant for her arrest was issued, according to investigators.
Jail records show Davis has since been released on a $10,000 bond.
This is a developing story
Copyright 2025 WALA. All rights reserved.
By Nupur Anand
NEW YORK (Reuters) – U.S. consumers are starting to curb their spending in response to high prices and a worsening economic outlook, according to consumer finance company Synchrony Financial (SYF).
Americans have been accumulating more debt amid strain in their finances, with delinquencies edging up for auto loans, credit cards and home credit lines, the Federal Reserve said last month.
Philadelphia Federal Reserve President Patrick Harker has also warned that trouble may be brewing for the U.S. economy, which is showing signs of stress in the consumer sector with consumer confidence also waning.
The belt-tightening indicates that Americans, whose finances are broadly healthy, are preparing for their finances to be more stretched, said Max Axler, chief credit officer of Synchrony. Most clients are still keeping up their loan repayments, he added.
“Purchase volumes have gone down across the industry as consumers across all income groups become more thoughtful about spending,” Axler told Reuters.
Synchrony, which issues credit cards in partnership with retailers and merchants, has more than 100 million consumer credit accounts.
U.S. consumer sentiment plunged to a nearly 2-1/2-year low in March as inflation expectations soared. Some economists have warned that President Donald Trump’s sweeping tariffs could boost prices and undercut growth.
Concerns about higher prices have driven consumers’ long-term inflation expectations to levels last seen in early 1993.
Retailers including Target and Walmart have said that shoppers are being careful with their spending, waiting for deals or making tradeoffs to lower-priced items.
Household spending cuts could be a precursor to increasing late credit payments or loan defaults, analysts said. While default rates have remained broadly steady, spending is being watched carefully as an early indicator of deteriorating consumer finances.
Borrowers could also become more cautious, taking out fewer or smaller loans and crimping a key source of revenue for banks. Across the industry, loan growth slowed by 5% to 12% in February versus a year earlier, HSBC analyst Saul Martinez said.
“There is clearly a slowdown, and it shows that the consumer is vulnerable,” Martinez said. “And for banks, slowing loan growth could result in lower net interest income and revenue,” he added.
The concerns about household finances have also weighed on consumer finance stocks with shares of American Express (AXP), Capital One (COF), Synchrony, (SYF) and Discover (DFS) down between 15-22% over the past month, Martinez said.
How ‘Operation Mincemeat’ Revealed a Family’s World War II Secrets
Top takeaways from Mayor Mike Duggan’s final State of the City address
San Francisco Giants Add Former A’s Reliever to Roster
Dallas Cowboys’ Brian Schottenheimer, Matt Eberflus attend high-profile Pro Day
Will Lionel Messi Play for Inter Miami vs. Philadelphia Union?
-
News1 week agoTrump Administration Ends Tracking of Kidnapped Ukrainian Children in Russia
-
News1 week agoVance to Lead G.O.P. Fund-Raising, an Apparent First for a Vice President
-
Business1 week agoEgg Prices Have Dropped, Though You May Not Have Noticed
-
Technology1 week agoDude Perfect and Mark Rober may be the next YouTubers to get big streaming deals
-
Technology1 week agoThe head of a Biden program that could help rural broadband has left
-
World1 week agoCommission warns Alphabet and Apple they're breaking EU digital rules
-
News1 week agoTrump’s Ending of Hunter Biden’s Security Detail Raises Questions About Who Gets Protection
-
News1 week agoU.S. to Withdraw From Group Investigating Responsibility for Ukraine Invasion