International banking

Marianne Lake will oversee strategic growth and the company's fast-growing overseas consumer bank. 

As the Canadian economy weakens in the face of US tariff uncertainty, Royal Bank of Canada and other large banks north of the border are putting aside more money for loans that are still in good standing.

Treasury Secretary Scott Bessent called for a course correction for the International Monetary Fund and World Bank, while saying that they serve "critical roles," and that the Trump administration is willing to work with them.

As steep tariffs on Canadian goods took effect this week, banks on both sides of the border expressed concern about the economic fallout and the uncertainty their customers face.

The Canadian bank's U.S. unit is restructuring its balance sheet and managing the fallout of anti-money-laundering compliance failures, but there were some positive indicators in last quarter's results.

As part of the transaction, Scotiabank will take a 20% ownership stake in Davivienda, Colombia's third-largest bank, which has operations in Costa Rica, El Salvador, Honduras, Panama and Miami.

The Canadian bank received approval from the Federal Reserve to increase its ownership stake in KeyCorp to up to 14.9%. The investment is expected to close by the end of this month.

The Canadian bank fell short of analysts' expectations on non-interest income partly because of a higher-than-anticipated tax rate. Scotiabank's results also included a one-time impairment charge related to its investment in Bank of Xi'an Co. in China.

The inquiry by securities regulators came in response to reporting that bank employees pushed products in ways that misled customers as they sought to meet their sales targets.

Canada's banking regulator is beefing up its rules on corporate culture, saying that it expects executives and boards to be accountable.