Okay, suppose I'm a Canadian corporation, not a bank, a multinational corporation, manufacturer, mining company, forestry company, what have you. I want to expand abroad. I'm operating in multiple countries. I'm looking for low-cost capital to try to access new markets. It's often emerging markets. They can be high-risk. They're looking for affordable capital that they can use to become global champions. They will try to find the least-cost source. That least-cost source may be in a financial centre in another country, in part because of an attractive tax jurisdiction. They will go there looking for financing. If you're a financial institution and you want to help them grow and you want to help them become Canadian champions, you have to be there. That is the role these financial centres end up playing. They become an avenue through which Canadian corporations, manufacturers, resource companies can access the capital they need to expand the product.
Evidence of meeting #63 for Finance in the 40th Parliament, 3rd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was banks.
A recording is available from Parliament.