We led the way: Flaherty

VANCOUVER — Canada’s financial system and its response to the recession should serve as models for the rest of the world, Finance Minister Jim Flaherty said Sunday, offering a glowing assessment of his government’s handling of the global economic crisis.

Finance Minister Jim Flaherty speaks to reporters before delivering a speech at the 63rd Congress of the International Fiscal Association in Vancouver

Finance Minister Jim Flaherty speaks to reporters before delivering a speech at the 63rd Congress of the International Fiscal Association in Vancouver

VANCOUVER — Canada’s financial system and its response to the recession should serve as models for the rest of the world, Finance Minister Jim Flaherty said Sunday, offering a glowing assessment of his government’s handling of the global economic crisis.

Flaherty, in a speech delivered in Vancouver, acknowledged there is still work to be done to ensure Canada recovers from the recession and avoids slipping back into trouble.

But he said Canada’s response so far has shown it is a “world leader in sound financial regulation.”

“We put forward our system as an example for others to follow, while not ignoring the need to make certain improvements here at home,” Flaherty told a conference on fiscal policy.

“All countries must take a critical look at their own systems and do what it takes to prevent another financial meltdown. But the Canadian system clearly works, and works well.”

In a familiar refrain, Flaherty said that Canada’s banks have avoided the collapses and massive financial bailouts seen elsewhere, particularly in the United States, and have been able to build equity in spite of the recession.

He lauded the Conservative government’s stimulus program, including infrastructure spending and tax cuts, and endorsed Ontario and B.C.’s plans to harmonize their provincial sales taxes with the GST.

And he noted Canada’s participation in several international efforts on financial reform, such as the country’s role in co-chairing a G20 working group on financial regulation.

“Measures like this are necessary and useful responses to the global financial crisis and recession,” he said in the speech.

Earlier this month, Flaherty said the deficit for the current fiscal year will total $50.2 billion. The federal government plans on running deficits for at least the next four years.

But the finance minister may soon have reason to boast.

Gross domestic product data for June and the second quarter were set to be released on Monday, and economists have predicted they will show growth for the first time in 10 months — signalling the recession, at least technically, likely ended in June.

Still, Flaherty acknowledged the work isn’t finished yet, listing off several changes still to come that he suggested will strengthen Canada’s financial footing.

He said the Bank of Canada will be asked to look for ways to implement monetary policy to ensure financial stability, and he said his government continues to work towards a national securities regulator.

“This might be the part of the speech where I say, ’If it ain’t broke, don’t fix it,”’ said Flaherty’s speech.

“While we have led the way internationally, our system is not perfect.”

Just Posted

New admissions have been suspended for Engineering Technology diplomas (Instrumentation, Electrical and Mechanical) and the Transitional Vocational Program at Red Deer College. (Photo by Sean McIntosh/Advocate staff)
Developmentally disabled impacted: Red Deer College suspends program

Transitional Vocational Program comes to an end

Alberta’s chief medical officer of health Dr. Deena Hinshaw is asking Albertans to do their part by observing gathering limits, staying home if unwell, wearing masks and maintaining physical distance. (Photo by Chris Schwarz/Government of Alberta)
Three new Central zone COVID-19 deaths, Alberta adds 1,433 cases

Red Deer down to 802 active cases of COVID-19

NDP education critic Sarah Hoffman holds up freedom of information requests that turned up no records. The Opposition requested back-to-school re-entry plan correspondence between Education Minister Adriana LaGrange and school boards, teachers and the media. Photo via Facebook live
NDP renews calls for Alberta gov’t to scrap K-6 draft curriculum

The NDP is once again calling on the Alberta Government to get… Continue reading

Earlier this week Alberta Health Services warned that Rocky Mountain House Health Centre emergency department would be temporarily without physician coverage from May 12, at 6 p.m., to May 13, at 7 a.m. (Photo contributed by the Town of Rocky Mountain House)
Doctors needed in Rocky Mountain House

Emergency department temporarily closed due to doctor shortage

The owner of Mae’s Kitchen in Mirror, says hamlet residents were ‘disheartened’ by a recent anti-restriction protest. The restaurant is following all the health restrictions in place. (Photo courtesy Mae’s Kitchen Facebook)
‘We don’t need that’: Mirror restaurant against recent anti-restriction protest

A week after a large anti-restriction protest at The Whistle Stop Cafe… Continue reading

Bo’s Bar and Grill owner Brennen Wowk said the hospitality industry is looking for more clarity from the province around what conditions must be met to allow for restaurants reopening. (Advocate file photo)
Frustated restaurant owners want to know government’s reopening plan

Restaurant owners feel they are in lockdown limbo

Calgary’s Stephen Ames shoots 66 to take Mitsubishi Electric lead

Calgary’s Stephen Ames shoots 66 to take Mitsubishi Electric lead

Nashville Predators goaltender Juuse Saros (74) deflects a shot against the Carolina Hurricanes during the first period of an NHL hockey game Saturday, May 8, 2021, in Nashville, Tenn. (AP Photo/Mark Zaleski)
NHL postseason: Who’s hot as the playoffs arrive?

NHL postseason: Who’s hot as the playoffs arrive?

Ottawa Senators' Connor Brown, right, celebrates a goal with teammates during third period NHL action against the Montreal Canadiens, in Ottawa, Wednesday, March 5, 2021. Brown will lead a young Canadian squad into the world hockey championship in Riga, Latvia. THE CANADIAN PRESS/Sean Kilpatrick
Ottawa forward Connor Brown leads Canada’s roster at world championship

Ottawa forward Connor Brown leads Canada’s roster at world championship

FILE - In this Nov. 9, 2018, file photo, Hockey Hall of Fame inductee Jayna Hefford shakes hands with people associated with the hall before a hockey game between the Toronto Maple Leafs and the New Jersey Devils in Toronto. The Professional Women’s Hockey Players’ Association is forging ahead in its bid to establish an economically sustainable professional league in North America with or — for now — without the NHL’s full financial backing. In response to Sportsnet.ca reporting the NHL was not in a position to operate a women’s league for the foreseeable future, PWHPA executive Jayna Hefford wrote in an email to The Associated Press late Thursday that her group has begun developing what she called “a parallel path for a future that doesn’t rely on NHL support.” (Frank Gunn/The Canadian Press via AP, File)
PWHPA forging ahead without NHL backing of women’s hockey

PWHPA forging ahead without NHL backing of women’s hockey

‘No secrets’ and no certainty in one-of-a-kind NHL playoffs

‘No secrets’ and no certainty in one-of-a-kind NHL playoffs

Supporters dance during a rally against measures taken by government and health authorities to curb the spread of COVID-19 at the Whistle Stop Cafe in Mirror, Alta., on Saturday, May 8, 2021. RCMP say they have ticketed four people after the rally that was attended by hundreds.THE CANADIAN PRESS/Jason Franson
Alberta leadership responsible for protests against public health orders: expert

Alberta leadership responsible for protests against public health orders: expert

Alberta Premier Jason Kenney answers questions at a news conference in Calgary on Tuesday, Sept. 15, 2020. Kenney is distancing himself from a decision to expel two members from his United Conservative caucus. THE CANADIAN PRESS/Todd Korol
Kenney distances himself from caucus vote to turf dissidents with ‘personal agendas’

Kenney distances himself from caucus vote to turf dissidents with ‘personal agendas’

Alberta's provincial flag flies on a flag pole in Ottawa, Monday, July 6, 2020. A judge is expected to rule this morning on a challenge of the United Conservative government's inquiry into whether foreign groups have conspired against Alberta's oil industry. THE CANADIAN PRESS/Adrian Wyld
Judge dismisses attempt to quash ‘anti-Alberta’ activities inquiry

Judge dismisses attempt to quash ‘anti-Alberta’ activities inquiry

Most Read