Ottawa to purchase up to $30B in fixed-rate CMBs in 2026

This year, the federal government says it will participate in all fixed-rate Canada Mortgage Bond (CMB) syndications and will target total purchases of up to $30 billion. All purchases will be for five- and 10-year fixed-rate CMBs and will be made in the primary market at syndication through orders placed with lead underwriters, with those orders to be fully filled.

The government will not purchase floating-rate CMBs.

The Bank of Canada will carry out the purchases and manage the federal CMB portfolio.

Officials say the goal for 2026 is to maintain stability in purchase volumes, although the share of purchases may vary slightly between five- and 10-year terms depending on issuance results and market conditions. Additional details on government participation will be communicated through the regular CMB syndication process.

The Government of Canada purchased $29 billion in fixed-rate Canada Mortgage Bond (CMB) primary issuances in the 2025 calendar year, meeting the 50 per cent target announced on Jan. 15, 2025.