CANADA'S ECONOMIC ACTION PLAN
CANADA OFFERS NEW SUPPORT TO
THE INTER-AMERICAN DEVELOPMENT BANK
PORT OF
SPAIN - This year's Summit of the Americas takes place in the context of
the worst global economic crisis in generations.
While the crisis began in developed countries, its effects are
hitting emerging and developing economies with increasing severity.
Canada's focus for the Summit is encouraging free trade and
discouraging other countries from moving back to protectionist measures.
With the
attention of the region on the economic situation, the Summit is an
opportunity to connect Canada's strengths and effective response to the
crisis to the circumstances and needs of regional partners while building
on the outcomes of the London G20 Summit.
Canada is working towards recovery in its own economy and providing
leadership internationally:
Canada's
strong stance against protectionism and in favour of further
liberalization is opening new markets for our partners in the hemisphere
Fixing the
financial system is essential to restoring credit and investment flows to
emerging economies
Canada's
banks are solid thanks to our sound approach to financial sector planning
Accelerated,
effective fiscal stimulus contributes to global demand and recovery
Canada is
making a substantial contribution to strengthening the resources of the
international financial institutions, especially the IMF and the IFC
global trade facility.
It is with
this in mind that Prime Minister Stephen Harper announced today that
Canada will work to temporarily increase the Inter-American Development
Bank's (IDB) lending capacity in response to the financial crisis.
Today's announcement responds to the urgent capital needs
identified by the IDB as essential to an effective response to the effects
of the economic crisis in the Americas.
"Canada
is the only country taking a leadership role in responding to a critical
need in such an innovative way," said the Prime Minister.
"This has not been done before and is a very significant
contribution."
This timely
increase in support to the IDB will provide countries in the region with
greater access to credit to promote economic growth, an essential element
of economic recovery. It will double temporarily Canada's lending capital at the
IDB.
The IDB is a
valued regional institution in which Canada plays an active role. The Bank
is the main source of multilateral funding for economic, social and
institutional development in Latin America and the Caribbean, and Canada
is a non-borrowing regional member. Canada
joined the Bank in 1972. The
IDB is the oldest and largest regional development bank in Latin America
and the Caribbean. Canada will host the annual meeting of IDB Governors in 2011.
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