Yes.
Evidence of meeting #78 for Finance in the 39th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was debt.
A recording is available from Parliament.
Evidence of meeting #78 for Finance in the 39th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was debt.
A recording is available from Parliament.
12:30 p.m.
Senior Associate Deputy Minister, Department of Finance
It's a very good question. It's a topical issue. We look at it regularly, but the important consideration here is that the federal debt is like a supertanker: it's very hard to move rapidly. That's part of the reason.
We have done substantial analysis showing that the benefit of moving to a higher level of floating rate debt--i.e., to that 40%--will provide the Government of Canada with savings.
One other important point on debt strategy is that part of this budget is a proposal to consolidate the debt of a number of crown corporations, which will result in about $90 million of saving to the Government of Canada per annum, once done.
12:30 p.m.
Conservative
The Chair Conservative Brian Pallister
Just repeat that last point again, the consolidation of crown debts....
12:30 p.m.
Senior Associate Deputy Minister, Department of Finance
A number of crown corporations, not all, had effectively issued on their own behalf. They were guaranteed by the Government of Canada and they issued at a slight premium to the Government of Canada, so it's slightly more expensive, 25 to 50 basis points. We're going to bring that in-house and save that amount of money, which can be given back to Canadians or reinvested in priorities of the government.
12:30 p.m.
Conservative
12:35 p.m.
Senior Associate Deputy Minister, Department of Finance
It was $90 million per year.
12:35 p.m.
Conservative
The Chair Conservative Brian Pallister
Wow, a $90 million saving.
Thank you very much for your testimony here today.
Now, members, to the votes.
FINANCE
Financial Transactions and Reports Analysis Centre of Canada
Vote 25--Program expenditures..........$41,312,000
(Vote 25 agreed to on division)
CANADA REVENUE AGENCY
Vote 1--Program expenditures and recoverable expenditures on behalf of the Canada Pension Plan and the Employment Insurance Act..........$2,607,505,000
(Vote 1 agreed to on division)
FINANCE
Finance Department
Vote 1--Operating expenditures..........$89,343,000
Vote 5--Grants and contributions..........$221,200,000
Vote L10--Issuance and payment of demand notes to the International Development Association..........
(Votes 1, 5, and L10 inclusive agreed to on division)
Canadian International Trade Tribunal
Vote 20--Program expenditures..........$9,306,000
(Vote 20 agreed to on division)
Office of the Superintendent of Financial Institutions
Vote 30--Program expenditures..........$784,000
(Vote 30 agreed to on division)
Shall the chair report vote 1, under Canada Revenue Agency; votes 1, 5, and L10 under Department of Finance; vote 20 under Canadian International Trade Tribunal, vote 25 under Financial Transactions and Reports Analysis Centre of Canada; and vote 30 under the Office of the Superintendent of Financial Institutions, less the amount voted in interim supply, to the House?
12:35 p.m.
Some hon. members
Agreed.
12:35 p.m.
An hon. member
On division.