Canadian banks will share "some anxious moments" with energy firms as plunging oil prices usher in a slump that could last 18 months, Bank of Nova Scotia chief executive officer Brian Porter said Wednesday.
Porter was among CEOs from Canada’s biggest banks speaking at the RBC Capital Markets-hosted conference who underscored that even as oil prices tumble, risks remain manageable for the lenders. North American crude oil prices have plunged 55% from their June 20 peak amid a glut in supplies and a battle for market share between the U.S. and Organization of Petroleum Exporting Countries.
"What we do is lend through cycles, we are a shock absorber in some regards," Porter said. "It’s going to take some time to work its way through the system. We’re not panicking."
