Staying on Course: Prime Minister Harper Delivers a Third Report on Canada's Economic Action Plan

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Good afternoon, ladies and gentlemen. First of all, I think we should all thank Jim Flaherty for the work he's been doing as Minister of Finance during this difficult time.  One of the best decisions I ever made was talking Jim into coming into federal politics.  It's great to have you on the team.  A special greeting today to Rodney Weston, the new Member of Parliament for Saint John, who has been a great addition to our caucus.  Greetings as well to Jim and Lynn Irving, and to all of the management and workers here at the Southern New Brunswick Railway.  Thank you for the tour earlier today, for the great work being done on the railway, and thank you your hospitality here today.  It's wonderful to be back in New Brunswick, my ancestral home, and to be back in Saint John. 

In recent months I've travelled from coast to coast to coast with a simple message: our government's number one priority is the Canadian economy. 

It's a message I've also delivered on the international stage, most recently to the G20 leaders in Pittsburgh, because if we are going to put the global recession behind us and capitalize on Canada's strong position going forward, our focus on the economy must not waver. 

Now more than ever, as a government, as a country we must stay focused, we must stay on course. 

Eight months ago our government brought forward the earliest budget in Canadian history.  We moved quickly, we cut red tape, and we delivered the largest economic stimulus in Canadian history.  Our Plan is working for Canada.

Working with our provincial, municipal and territorial partners, the amount of funding for 2009-10 that has now been committed to specific projects, and is being implemented has now reached 90 percent.  From upgrades to the border crossing at Sault Ste. Marie to a new building at Royal Roads University in Victoria, from a new harbour in Pangnirtung to highway infrastructure in Nova Scotia, projects are up and running, jobs are being created and communities across this land are seeing the benefits. 

The work that will be done to upgrade the New Brunswick Southern Railway's track and terminals over the next two years is funded in part by our Economic Action Plan.  This joint effort of the railway, the province of New Brunswick and the federal government will create jobs, inject millions into the local and regional economy, and help New Brunswick manufacturers get their product to market. 

It's just one of dozens of Economic Action Plan projects in this province.  These projects are creating or sustaining hundreds of jobs for New Brunswickers and laying the foundation for strong economic growth and an even stronger future for this great province. 

Today our government is providing our third report to Canadians on the implementation of Canada's Economic Action Plan.  In all, I'm pleased to report that over 7,500 infrastructure and housing projects, along with numerous other measures to counter the global recession, are moving forward across this country. 

This includes 4,700 infrastructure projects in partnership with provinces, territories and municipalities, 1,150 projects involving strictly federal infrastructure, almost 450 projects at colleges and universities, a number of investments in tourism and culture, and investments specifically targeted to help sectors and communities that have been particularly hard hit by the recession. 

Just six months into the two-year fiscal plan, more than 4,000 infrastructure and housing projects are already in the construction and pre-construction phases, and this number is increasing every week.  We are stimulating construction on the infrastructure that matters most to Canadians, their homes, through the First-Time Home Buyers’ Tax Credit and the Home Renovation Tax Credit.

We've also extended employment insurance benefits, made it easier to qualify and expanded EI training programs.  As a result, 300,000 workers have obtained up to five extra weeks of benefits.  Nearly 4,500 apprentices have received grants for completing their programs.  Work sharing has helped preserve 164,000 jobs, and we are now extending benefits for almost 200,000 long-tenured workers. 

We've also invested in the economy of the future by upgrading knowledge infrastructure, expanding graduate student internships and investing in green technology. 

Canada came into this recession from a strong position, and this recession has not undermined the fundamental strengths of our economy.  These strengths allowed Canada to stay out of recession longer than most, and have protected us from the more severe effects endured by others.  As The Economist magazine put it in a memorable headline, Canada is, quote, "a country that got things right." 

First, our long-term fiscal position is solid.  Before the recession we were in surplus.  In fact, we paid down tens of billions of dollars in debt when times were good.  This allowed our government to introduce one of the largest stimulus packages in the G7, and to do so while retaining the lowest debt and deficit levels. 

Our taxes are falling, making Canada more attractive place to live, invest and do business.  Our tax rate on new business investment is falling to the lowest level in the G7 as early as next year. And thanks to our personal tax cuts, thanks to Minister Flaherty, Tax Freedom Day now arrives 20 days earlier than when we took office in 2006. 

Our financial sector remains strong and Canadian banks are secure.  None have needed bailouts, and three are now among the top ten in North America. 

These comparative economic, fiscal and financial strengths have not gone unnoticed.  Canada has vaulted into ninth place in the World Economic Forum's national economic rankings this year, up from thirteenth in 2007, now ahead of Britain, South Korea, Hong Kong and the Netherlands.

Ladies and gentlemen, our efforts are having a positive effect.  We are seeing stabilization and the early beginnings of a recovery.  Modest growth resumed in June and it's expected to gather steam through the rest of this year and next.  The housing market has been trending upward, along with consumer confidence.  Employment is stabilizing.  Canada's unemployment rate today is a full point lower than it is in the United States for the first time in over 30 years. 

But this recovery is fragile.  Despite the reasons for optimism, we are not out of the woods yet.  Far too many Canadians are still out of work.  Too many families are suffering hardship, and just as Canada was dragged into the global recession through no fault of our own, our recovery could be derailed by events beyond our borders.  That is why it is crucial that we continue to implement our Economic Action Plan, and continue to stay on course. 

Doing anything else than staying focused on the economy is reckless and irresponsible.  Trying to force an unnecessary and wasteful election in the middle of a global recession is not in this country's interests. 

Barely a year ago, Canadians gave our government another, stronger mandate, a mandate to lead Canada through the global recession, and just a few short months ago the Leader of the Opposition voted to support our Economic Action Plan.  The fact that the economy is starting to recover is hardly a reason to force an election.  Now is the time to stay on course.

Undaunted by this global recession, Canadians have joined together at all levels of government, and with our international partners, in an unprecedented effort to tackle the challenges head-on and position ourselves for a future of unlimited possibility. Together we are going to finish the job.

Thank you.

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