Frequently Asked Questions
Q. What are the
responsibilities of the Ontario Financing Authority (OFA)?
The OFA is responsible for
borrowing, investment and financial risk management activities on
behalf of the Province, its Crown corporations and other public
bodies. It also provides financial and centralized cash management
services for the Province and advises on financial policies and
Q. What is the OFA's
The OFA's primary objective
is to ensure that the Province's borrowing, debt and liquid reserves
are managed in a sound and cost-effective manner.
Q. What is the OFA's
relationship with the Ministry of Finance?
The OFA is a Schedule IV
Agency of the Ministry of Finance. The Chair of the OFA, who is also
the Deputy Minister of Finance, reports directly to the Minister of
Finance. Day-to-day operations of the Ontario Financing Authority
are overseen by the Chief Executive Officer.
Debt and Debt Management
Q. What is the
Province's current outstanding net debt?
Ontario's net debt, the difference between total liabilities and
total financial assets of the Province, is projected to be $252.8
billion in 2012-13.
Q. How much is the
Province's debt servicing cost exposed to interest rate fluctuation?
To avoid the potentially
adverse impact of unexpected changes in interest rates on Ontario's
public debt interest cost, the Province has set a limit on interest
rate reset exposure. This is short-term floating rate exposure (net
of liquid reserves) and fixed rate debt maturing within the next 12
At present, the maximum amount of interest rate reset exposure is limited to 35 per cent of the
debt managed on behalf of the Province ("debt"). As at March 31, 2013, interim interest
rate reset exposure was 8.9 per cent.
Q. What percentage of
debt is exposed to foreign currency fluctuations?
As at March 31, 2013, the
Province's interim foreign exchange exposure was 0.8 per cent of debt. The
Province's exposure to unhedged foreign currency is limited to 5 per
Q. How can I contact
The OFA can be contacted in
one of the following ways:
- E-mail: email@example.com
- Telephone: (416) 325-8000
- Written: 1 Dundas Street West, 14th floor, Toronto, Ontario M7A 1Y7