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Canada’s financial regulator said on Thursday it was maintaining the amount of capital the country’s biggest lenders must hold, saying the uncertainties related to U.S.-Canada trade tensions were not stressing the financial system.

The Office of the Superintendent of Financial Institutions (OSFI), which oversees the banks to ensure financial stability, maintained the domestic stability buffer (DSB) at 3.5%.

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“The uncertainty caused by rising trade disputes has not manifested itself in indicators of financial system stress,” Superintendent Peter Routledge said in a press briefing.

“We continue to assess potential impacts that a global trade conflict could have on the Canadian economy, with a special focus on spillovers to the financial system.”

Trade tensions between the U.S. and Canada, and U.S. President Donald Trump’s tariffs have hurt trade, investments and jobs on both sides of the border.

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With ongoing tensions in the Middle East, Routledge said banks have “plenty of resilience” to absorb a more significant shock in financial markets caused by geopolitical tensions.

The DSB is additional capital that Canada’s big six banks must set aside to cover losses during financial uncertainties to ensure stability in Canada’s economy.

The buffer level is determined by various factors that include consumer debt levels, major fluctuations in the housing market and asset values. The DSB has a range from 0% to 4%.

Reporting by Nivedita Balu, David Ljunggren and Maiya Keidan Editing by Marguerita Choy