Mr. Chair, it's a pleasure for me to appear once again before my colleagues of this committee, this time to talk about the Main Estimates of the Canadian International Development Agency.
I have asked senior officials from CIDA to accompany me here. They are Mr. Robert Greenhill, President; Ms. Diane Vincent, Executive Vice-President; and Mr. Marc St-Laurent, Director, Resource Management.
In the 2006 budget, the government stated its commitment and increased resources allocated to foreign aid by eight percent. It also made a commitment to double the international aid envelope from its 2001-2002 level by 2010-2011. CIDA's Estimates for 2006-2007 reflect that commitment. Relative to 2005-2006, it's proposing a net increase of $198.8 million from CIDA's reference level.
In addition, in the Throne Speech, the government clearly stated its commitment to implement an accountability regime and to make more efficient use of funding that Canada allocates outside the country.
That is why CIDA's plans and priorities for 2006-2007 are focused on improved efficiency of Canadian aid.
Canada is internationally recognized as one of the efficient donors and a responsible manager of resources allocated to development aid. And yet, although the aid granted by Canada produces tangible results, we think that we can, and that we should, do more to maximize the effects of our aid.
The past 10 years have taught us a great deal about what can make aid more efficient. There is now an unprecedented international consensus on the approach to take.
With the lessons we have learned about making aid more efficient, we are implementing a program divided into four parts: a more strategic concentration of our programs; enhanced program delivery; more efficient utilization of the agency's resources; and clear accountability for results, with the 2007 filing of CIDA's first annual report on development results.
We have started to concentrate our resources in countries where needs are great, in countries that can use aid efficiently, in countries where our action can have a decisive effect. In this fiscal year, we will re-examine our approach in order to focus our resources even further.
For example, the Afghanistan and Haiti programs are among the biggest. This reflects the government's commitment to promoting stability and supporting reconstruction in those countries in crisis. Vulnerable states deserve particular attention and concerted cross-government intervention. These countries have problems in the areas of security, stability and poverty reduction. This is as true for their own nationals as it is for Canada and for development cooperation in general.
I would also like to emphasize that Africa is still a major beneficiary of the government's programs. However, we will continue to respond to significant needs elsewhere, whether it be in the Caribbean, Latin America or Asia.
In Afghanistan, together with 59 other countries, Canada is helping the Afghan population rebuild its country. We support the establishment of conditions conducive to sustainable economic well-being, so that the Afghans have the tools they need to invest in their future. Here I'm talking about access to education, health care and credit.
But what have we accomplished thus far?
Canada has assisted 139,000 Afghans, the majority of them women, in obtaining small loans to start up their micro businesses, and to buy tools and farm animals in order to support their families. More than $70 million has been distributed in this way in 18 Afghan provinces. The repayment rate is 98%.
More than 10,000 community development councils have been created in the country. With Canada's support, these councils have carried out approximately 5,000 community projects designed to improve health and hygiene as well as the quality of life of thousands of Afghan families. A number of other projects are under way.
Afghanistan has adopted a new constitution and held presidential and parliamentary elections. Five million children are going to school, one-third of them girls. More than 65,000 land mines have been destroyed since 2002.
We can celebrate these successes and we are proud to contribute to them. In May 2006, the Prime Minister announced that Canada would maintain the level of funding for development in Afghanistan at $100 million a year until 2011.
Haiti is another country that needs our aid to get back on its feet. It is the poorest country in the Americas. Canada has a lot of experience in Haiti, and, over the years, has earned the trust and friendship of Haitians. Moreover, the sizable Haitian diaspora living in Canada can provide links to help rebuild this country. For decades, Canadian non-governmental organizations, universities and institutions, starting with religious communities in Quebec, have worked in Haiti, where close links have been formed between the two populations. These links, which have been built over the years, constitute today one of the main strengths of Canadian cooperation in Haiti.
I'd now like to turn to two of the priority areas of our international development actions, democratic governance and gender equality. Democratic governance is a crucial issue. In order to lay the groundwork for lasting progress, a society must maintain a climate of peace and security. This is only possible in a democratic society, one built on a foundation of freedom, human rights, the rule of law, justice and the accountability of public institutions. It is for this reason that democratic development will be a vital element of all our bilateral programs.
Gender equality remains in the forefront of our work. This is one aspect of all our areas of intervention. Gender equality is a priority of this government, a priority for CIDA and definitely one of my personal priorities. In many developing countries, experience has shown that in order to reduce poverty, create wealth and safeguard human rights, nothing is more effective than concrete actions that permit women to take advantage of their great potential. That is why we need programs and funding that specifically target support to the economic and social development of women and to reinforce their rights.
During my stay in Mali this summer, I visited a number of CIDA projects that are helping to improve living conditions for women and children. For example, I visited one of the branches of the Nyesigiso savings and investment cooperative system. CIDA provides financial support to this system, which helps Malis, particularly women, improve their means of livelihood and promotes development of the micro-finance sector in Mali. I even opened a personal account at one of the cooperatives to show my support.
The second part of our new agenda is intended to improve the delivery of our aid programs. To support international development, the new government is resolved to involve Canadians across the country. Last June, I launched the new Voluntary Sector Fund. With a $20 million budget, this fund supports development projects implemented by Canadian organizations, in partnership with organizations in developing countries. The Voluntary Sector Fund is aimed at Canadian non-governmental organizations, institutions and associations, in particular diasporic groups. Our Canadian partners work in cooperation with our Southern partners. Together they are carrying out projects and programs whose objectives are consistent with Canada's development priorities, particularly in the areas of poverty reduction and human rights. The purpose of this approach is to increase aid efficiency, particularly by strengthening the capabilities of civil society and enabling local groups to take charge of initiatives.
Mr. Chair, the role of civil society in international development is crucial, and CIDA's experience in the past 40 years has shown this. The partnership between CIDA and non-state stakeholders is a major factor in Canada's contribution to international development. I want to ensure that Canada is the leader is recognizing civil society in the Paris Declaration. We will work together to make this happen.
Our program of work includes working on multilateral effectiveness on key issues such as HIV/AIDS, environmental sustainability, and humanitarian assistance. Canada will continue to work with organizations that are the most effective in achieving these objectives.
The third component of our agenda is aimed at a more efficient use of our resources. We're currently exploring several paths to follow to accomplish this. We will remain on track in the move to untie levels of aid.
We will strive to reduce our level of spending on administration. I will also see to it that CIDA's presence is felt even more in the field.
Lastly, our agenda seeks to strengthen performance measurement and reporting. CIDA and its partners work in some of the worst, most dangerous, and unpredictable environments. Conditions often include armed conflict, famine, infectious disease, extreme poverty, and natural disasters, as well as unpredictability arising from economic instability.
Our ability to assess and manage risk underpins the effectiveness of CIDA's investments. In keeping with the new government's priority on accountability and our aid effectiveness agenda, I will table in 2007 the first annual report on development results. Through this report Canadians will see that the lives of the poor in developing countries have been positively affected through CIDA's support.
The government is also committed to strengthening health systems in developing countries. We will contribute $450 million between 2006 and 2016 to support country-led efforts to strengthen health systems in Africa. This will address major weaknesses today, leading to improved health outcomes in Africa and to concrete progress in terms of meeting the millennium development goals.
A report on Canada and health results is available for your information.
Mr. Chair, in my remarks today I have given the members of the Standing Committee on Foreign Affairs and International Development a very brief outline of CIDA's plans and priorities for the current year, including our four-part agenda on how to improve aid effectiveness.
Now I would be pleased to respond to any questions the members of the committee may have.