Thank you, Mr. Chair. I'm delighted to be here again.
As you can see, I have officials from the Department of Foreign Affairs with me as well. Doreen Steidle is assistant deputy minister. Peter Harder is deputy minister. Gérald Cossette is with us on passport matters, which he may want to address.
Colleagues, distinguished members of this committee,
I am pleased to appear once more before this committee.
I want to address the issues around our main estimates for the Department of Foreign Affairs and International Trade.
The estimates, and the Report on Plans and Priorities, represent the department's business plan for the current fiscal year. I do not intend to take you through it page by page.
Instead, allow me to say a few words about the department in the context of Treasury Board policies and the government's fiscal priorities, particularly in the context of value for money and a results-based approach to planning, expenditures, management and accountability.
Mr. Chair, the department's budget is $1.9 billion. Questions immediately arise: What do Canadians get for their money? Does it need to be spent? Is it well spent? How is the department handling the spending review that the government instituted for all departments?
Let me begin with the last question. The department has achieved all the budget reductions imposed on it, including the Budget 2006 reduction of $70 million that was inherited from the previous government. We are certainly doing our share in the new government's expenditure reduction program as well, and we will continue to do our share.
Having said that, I'm not going to list item by item how these expenditure reductions have occurred; you have that information, and we're pleased to answer any specific questions.
I do want to offer some perspective, though, on the significant role Canada plays on the global stage and how my department makes that role possible. Canada is a G-8 country and a NATO member with global responsibilities. We are influential with the United States and our allies because of that global role. That is why the United States of America listens to Canada. It's not only because we happen to be neighbours; our voice matters there. Friends can disagree respectfully and constructively, and we're able to accomplish much more in that environment.
Our global role also takes us into the heartland of international decision-making, negotiations, and networking. Besides the G-8 and NATO, this includes the United Nations, the Organization of American States, Asia-Pacific Economic Cooperation--APEC, the Commonwealth, and La Francophonie, to mention a few. There are a total, I believe, of 60 organizations of which Canada is a member, 40 of which directly touch foreign affairs.
We are certainly global in our perspective, Mr. Chair. One in five Canadians was born abroad, and 2.7 million Canadians live outside Canada, which naturally results in an increased demand for consular, passport, and commerce services. Canadian direct investment abroad reached $465 billion in 2005, and grew by 3.9% each and every year in the period from 2001 to 2005.
This is, of course, very much to our advantage, but we are facing a more complex and dangerous international security environment, and we must try to shape and influence geopolitics, geopolitical shifts, and the growth of new powers in the east.
Canadian security and prosperity depend on global economic and political developments, and on the quality and depth of our engagement with them.
Let us get to the heart of the matter. What are the department's strategic objectives? What do Canadian taxpayers get for their money?
Canada's strategic objectives fall into four main areas, Mr. Chair: security for Canada and Canadians; prosperity for Canadians; advancing our values and humanitarian actions globally; and service to Canada and Canadians.
Often overlooked is the department's value-added role in supporting domestic priorities through international action. DFAIT is the only government department that connects Canada's international and domestic interests across a whole range of programs and policies--for instance, our national security, supported by international agreements; counter-terrorism work; international law enforcement; global health issues; environment; and of course responding to foreign-based threats to security, such as combating the sources of terrorism themselves in places such as Afghanistan.
Our domestic prosperity is supported through Canada's international trade policy and programs; our sovereignty, through international law and relations with key partners; our federation, by integrating provincial representatives abroad. You would know, Mr. Chair, that this is increasingly happening, in that many of the Canadian provinces now have consuls and representation abroad with which we are interacting.
The welfare of our citizens through consular, passport, and commercial services, of course, is also our responsibility, as is our public health, by participating actively in pandemic preparedness worldwide. Indeed, the Government of Canada at large is supported by DFAIT through the department's provision of coordination and host functions for other government departments with interests and programs abroad.
Let me illustrate. The department enables the specialized work of 20 other partner departments and agencies, from Agriculture Canada to the RCMP. From these common services come greater economies and greater efficiencies in the use of taxpayers' money. In today's world, many parts of the government are involved internationally, as are the provinces, territories, and municipalities. The department's support is therefore an important feature of modern Canada in a globalized economy without borders.
Let us turn to the next question: How does DFAIT achieve results? The department pursues Canada's strategic objectives through policy development at home and representation abroad. That is, lobbying for Canada's security and prosperity interests directly; active participation in key international institutions and agencies; pursuit of important bilateral relations; and through the implementation of key programs aimed at advancing our priorities and our interests.
In carrying out these responsibilities, how does the department ensure value for money? It does so through improved accountability, risk management and modern comptrollership and the implementation of Treasury Board guidelines and policies.
As you know, our party was elected on a platform of enhanced accountability, and this philosophy is applied in all areas.
The department is ensuring improved accountability and risk management by better aligning resources with priorities and interests. That has been a common theme. The department has developed country and regional strategies as well as multilateral strategies for the organizations in which Canada participates. These are not for the department alone, but increasingly are whole-of-government strategies. These strategies specify the outcomes expected as well as the outcomes sought of each Canadian mission abroad, including those attached to multilateral organizations. And they contain assessment criteria by which performance and results can be evaluated. They also help allocate, and reallocate where possible, funds and resources.
One of the best examples we've seen in recent years was the evacuation of Lebanon, where many departments, including our own, reallocated resources to deal with the specific crisis at that time. Mandate letters assign the heads-of-missions' objectives to the broad government-wide agenda, as well as to performance management assessments and the achievement of results. In addition, the department has categorized missions in accordance with the level and intensity of Canadian interests and priorities.
Category one missions represent Canada's interests with the greatest political and economic importance to Canada. By contrast, category four missions represent very specific Canadian political and economic interests. A separate category covers crisis response missions and operations, which are high intensity but often of limited duration.
In other words, the department is constantly evaluating the size and composition of missions and the resources they require in terms of results for Canadians, in terms of value for money, and in terms of furthering Canada's interests and priorities.
In fact, Treasury Board has recognized the department's efforts in constantly re-evaluating DFAIT's property portfolio for opportunities to reduce costs and rationalize space.
These kinds of actions are set against a backdrop of unprecedented security demands for Canadian officials and mission staff abroad. Certainly it is dangerous work at times. Think of Kabul, Beirut, Port-au-Prince. Think of the more than 40 Canadian missions requiring armour-protected vehicles. From 2001 to 2005, 16 mission evacuations were required, involving over 200 Canada-based staff and their dependants.
One of the lasting memories I have shortly after being sworn in to this portfolio was being shown a picture by my deputy minister, Mr. Harder, of an armoured vehicle that had been fired upon with a bullet hole just behind the driver's door. So there are certainly reasons to invest in the protection of our officials abroad. That happened in Nigeria.
These examples and many others in the documents that have been tabled for this committee constitute, in my view, solid evidence of continuing efforts to be responsible to what matters for Canadians, results that count in advancing Canada's interests and priorities through international action and value for money in achieving them.
Let me turn briefly to the department's strategic priorities, the pursuit of which is after all what this business planning is all about.
As you will see in the report on plans and priorities, these strategic priorities are as follows: greater collaboration with the United States and increased cooperation with all hemispheric partners; a more secure world for Canada and Canadians, safer from the threats of failed or fragile states, terrorism, transnational crime, and weapons of mass destruction; a revitalized multilateralism, responding to the new challenges of globalization and putting outcomes ahead of processes; greater engagement with like-minded partners in the G-8 as well as emerging economies such as Brazil, Russia, India, and China; strengthened consular and passport services able to respond rapidly and flexibly; increasing Canadian awareness of the challenges and opportunities presented by global commerce; more secure access for Canadian business to global markets through the negotiation and implementation of commercial agreements; assistance to Canadian business to compete successfully for global opportunities; the promotion of Canada as a global competitive location and partner for investment, innovation, and value-added production; and finally, a foreign ministry that is recognized as modern, agile, and robust.
These priorities guide the day-to-day work of the department and they factor directly into the country strategy and the head-of-mission mandates and performance management agreements of the department's executives, both in headquarters and abroad.
Of course, there are also the priorities of the moment, which any government and any foreign ministry must respond to: crises and circumstances that erupt with little warning and situations of national concern that a government is called upon to manage on the spur of the moment.
I am thinking here specifically of the evacuation of Canadians from Lebanon, the dreadful tsunami of late 2004, or the hurricanes Katrina and Wilma. I am thinking expressly of the continuing demands of Canada's most important combined military, humanitarian, and development operation in decades, an operation that has required sacrifice, effort, resolve, and resources, human and financial. I am speaking of our mission in Afghanistan.
Other international issues will continue to dominate our foreign policy, security, humanitarian and commerce agendas on a day-to-day basis.
All these issues will be approached according to our philosophy, to support freedom, democracy, the rule of law, and human rights.
The economic growth in China, India, and post-Castro Cuba; consolidating fragile democratic gains in Haiti; Iran's nuclear program and UN sanctions; the rise of authoritarian populism in Latin America; multiple crises in the Middle East and quintessential rogue state North Korea; and Sudan's humanitarian crisis and the inability of the international community to respond—all of this requires our need to ensure that we continue to respond appropriately.
Finally, on the commerce side, a pressing issue that has required a great deal of attention and received a great deal of attention is our need to ensure that the border with the United States remains open to commerce and closed to security threats.
Mr. Chair, as I said at the outset, it's a complex and changing world, and Canada's interests and values are at stake. Canada needs to influence and shape this world the best way we can, in a positive fashion. My message to you today is that Canadians are getting a great deal from the Department of Foreign Affairs and the budget it receives. They are getting engagement and standing in the world. They are getting real value for this money, and real results in a way that is documented publicly and can be seen by everyone—and those are the documents that have been filed with you.
With that, Mr. Chair, my senior officials and I will be pleased to respond to any questions the committee members might have. I thank you for your attention. I appreciate your patience, and I look forward to your questions.
Thank you to each and all of you.