Bank of Canada Governor Tiff Macklem says changing bank capital rules by itself is not enough to immediately increase lending or stimulate economic activity. He argues that even if regulators loosen capital requirements, banks still need credible demand from borrowers to expand credit. The remarks echo concerns raised by analysts following the recent regulatory change, who questioned whether the adjustment would automatically translate into more loans in the near term. In the view presented across the sources, the link between capital requirements and lending is conditional: banks can adjust balance sheets and risk-taking capacity, but lending growth depends on whether households and businesses are prepared to borrow and spend. The discussion therefore focuses less on the mechanical effect of regulatory updates and more on the broader environment that drives borrowing activity.