Thank you, Mr. Chair. Thank you for the invitation to address this committee and speak to the progress made in Haiti since the government's response was tabled in February 2007. I will provide a brief overview of the current situation and highlight some of the positive trends we are seeing, as well as some of the key themes of our engagement in Haiti going forward.
It has been a full year since the government responded to your committee's report, and we have had the opportunity to witness some concrete advances in the situation facing that country. Canada is playing an important role in sustaining these improvements through our commitment, our ongoing support for and policy dialogue with the Haitian authorities, and our continued leadership role in mobilizing the international community to stay the course.
However, stability across all sectors remains fragile. We must constantly remind ourselves of the need to anticipate progress on an incremental scale in Haiti, and of the need for continued vigilance and flexibility in our approach. Three broad themes inform Canada's commitment to Haiti: democratic governance, security and prosperity.
We are fortunate that the current Haitian government enjoys legitimacy as a result of a credible electoral process. Since his election in 2006, President René Préval has been able to build on his resounding victory with an emphasis on political inclusiveness and an obvious desire to tackle the country's numerous social and economic problems. The result is a political stability (however fragile) unknown in Haiti since 2000. Préval's own reputation, as an honest broker and untainted by corruption, has helped enormously. There is palpable will to bring about positive change.
The most dramatic and visible improvements in Haiti are in the security situation. For the first time in years, government control over marginalized areas in urban centres has been re-established, notably in Cité Soleil and Martissant, once lawless zones under gang control. Progress has been so significant that Prime Minister Harper was able to visit Cité Soleil during his July visit to Haiti, the first such visit by any foreign leader.
This is thanks to strong leadership on the part of President Préval, and the essential contribution of MINUSTAH. These achievements continue to be built on through efforts by Canada and others to strengthen Haiti's capacity to take on security challenges. My colleagues, both from the RCMP and from the department, will discuss this in greater detail. Further, our lessons learned in Haiti, including past withdrawal of UN troops before the job was consolidated and completed, argue for continued Canadian support for a long term MINUSTAH presence, and a mandate that equips the mission to respond adequately to the needs on the ground. From that perspective, we were particularly pleased with the October renewal of the mandate for 12 months, with a renewed focus on border management.
The good-news story in Haiti continues with the significant macro-economic advances that were initiated in 2004. Inflation has been brought under control in the 8% to 10% range, although, of course, as Carlo Dade mentioned earlier, the situation with the world food prices is bringing a new challenge to Haiti. The exchange rate is stable and foreign reserves have doubled. In 2007, for the third consecutive year, the Haitian economy enjoyed a positive growth rate of 3.2%.
However, these positive developments, combined with improved prospects for private investment and massive international investment in infrastructure, have as yet failed to bear fruit in terms of new jobs and improved living conditions for the Haitian population. The challenge facing the Government of Haiti is to ensure visible peace dividends to the local population, a challenge to which Canada remains firmly committed as a means of ensuring sustainable and positive return on our investment there.
We have seen that Canada's presence in Haiti resonates with our partners in the hemisphere and it is an important element of the government's re-engagement in the Americas. Our commitment to the Haitian government and the Haitian people is an opportunity to demonstrate all that Canada has to offer to the hemisphere, to fragile states, to stabilization, to reconstruction and long-term development. Haiti is also a challenge to Canada's ability to deliver on our promises, to bring focus and real leadership to bear in all these areas.
Inherent in this is the risk to our credibility in all these areas if we do not leverage the resources necessary to ensure the success of our current engagement and that of our partners in Haiti. As Prime Minister Harper remarked during his visit to Haiti:
...the security of our entire region will be enhanced by greater stability in Haiti, and a stronger Haitian economy will serve our goal of expanded trade and improved employment opportunities for people throughout the Americas.
The past 12 months have firmly established Canada's leadership role in Haiti. We have the trust of the Haitian government and the respect of the international community. A series of high-level, high-profile visits to Haiti started with the Prime Minister in July 2007, and they have included the ministers for foreign affairs, CIDA, and public safety, all departments engaged in this whole-of-government effort, and further reinforcing our leadership.
During his visit Prime Minister Harper announced an increase of the Government of Canada's contribution towards the reconstruction of Haiti, for a total of $555 million, from 2006 to 2011. This commitment is only surpassed by Canada's aid commitment to Afghanistan.
The whole-of-government character of the Canadian effort was further reinforced very recently with the launch of the bilateral Canada-Haiti expanded consultations. These took place last week, when an 18-strong delegation, including representatives from five government departments and three agencies, as well as the Government of Quebec, travelled to Haiti for high-level dialogue and an exchange of views with the Haitian authorities on the priorities moving forward.
Established donors like the U.S. and the EU appreciate the contribution we are making in stabilizing one of the world's most fragile states, as well as the experience we bring to an effort that seeks to distinguish itself from past failed attempts there. Unique to our current engagement is the fact that for the first time Latin American troops comprise a majority of the UN force in Haiti, a point that Carlo Dade also underlined. These same countries are now initiating development activities in Haiti, again something that our CIDA colleagues can address and which was also mentioned by Carlo. Emerging donors in our own hemisphere, such as Brazil, Chile, and Mexico, are increasingly looking to us as a partner and a guide for their involvement in Haiti.
Our common-cause commitment to Haiti can therefore be in turn leveraged to further reinforce bilateral objectives with those countries. Thus Canada's engagement in Haiti is having a real impact in the country but also more broadly in the region.
Through our commitment to a sustained, long-term engagement and leadership in Haiti, Canada is shown to be a driver and active partner in the promotion of prosperity, security, and democratic governance in the hemisphere. These are themes that we intend to carry forward as we continue to bring focus to bear in our commitment to making a real difference in Haiti.
Thank you once again for this opportunity to discuss our current engagement in Haiti. My colleague, Robert Derouin, from DFAIT's Stabilization and Reconstruction Task Force, will be able to answer specific questions you may have regarding Global Peace and Security Fund disbursements in Haiti, particularly in light of recent initiatives announced by Minister Bernier during his visit in February. I am also joined by colleagues from CIDA, who will elaborate on our development programming, within the context of Haiti's National Growth and Poverty Reduction Strategy Paper. Our RCMP colleagues will then speak to Canada's deployments to the UN Stabilization Mission in Haiti, and Canada's contribution to police reform.