Effective: March 3, 2022

Applicable FAM Policies: 405 - Bank Accounts

Applicability: GNWT Departments

INTERPRETATION

Interest Earned on Cash Securities Held in Trust with the GNWT

In order for a company or individual to qualify for interest payments from the GNWT on cash securities held in trust, the following must all be met:

1. The deposit amounts in the trust account must be determined to be significant (i.e. greater than $50 million);
2. The amounts must be held in separate GNWT trust accounts with major Canadian Financial Institutions;
3. There must be an agreement in place with the company or individual regarding the trust that may include the deduction of fees, such as wire fees, from the accumulated interest and the schedule for interest payments;
4. Until any amount owing for security required is confirmed to be posted, no amounts of interest will be paid by the GNWT; and
5. For interest to be paid, the company must not have any amounts owing with the GNWT for greater than 30 days on the scheduled payment date. 

The Department of Finance has the authority to decide on the schedule for interest payments.