The Great Depression, fueled by drought conditions and a worldwide economic slump, contributed to a change in government and unprecedented public criticism of Canada's banking system. It also coincided with Prime Minister R.B. Bennett's concern that Canada lacked a direct means for settling international accounts. In 1933, he set up a Royal Commission to study “the organization and working of our entire banking and monetary system [and] to consider the arguments for or against a central banking institution."
The arguments "for" won. The Royal Commission, headed by Lord Macmillan, recommended in its report the establishment of a central bank. A week after the report was made public, the Prime Minister announced that his government would adopt the recommendations.
An appendix to the report, titled "Suggestions as to some of the Main Features of the Constitution of a Central Bank for Canada," became the framework for the
Bank of Canada Act, which received royal assent on 3 July 1934. In March 1935, the Bank of Canada opened its doors as a privately owned institution, with shares sold to the public.
Sorry Bubby but this is from their web site.
Maintenance - Bank of Canada
