In a significant move to address financial stability and borrower indebtedness, Canada's banking regulator, the Office of the Superintendent of Financial Institutions (OSFI), announced plans to cap mortgages for highly indebted borrowers. This initiative aims to limit loans to borrowers with mortgages greater than 4.5 times their annual income starting next year. The measure, reported by The Globe and Mail, seeks to mitigate financial risks by preventing borrowers from taking on excessive debt relative to their income. This policy change comes amid broader discussions on financial regulation, including debates on capital requirements for banks. In the United States, the Federal Reserve's top banking regulator indicated potential significant changes to proposals for lenders to hold more capital.