Mr. Speaker, my question is for the Minister of Industry.
The Canadian Federation of Independent Business in its research paper and report on barriers faced by women business owners concludes that banks and lending institutions promote a double standard in their lending practices. This report points to a higher loan refusal, higher interest on the loans acquired and greater differential between capital applied for and capital accessed for women when compared with men who own businesses or male-female co-owned businesses.
The prejudice on the part of the lenders does not match up to the reality of the women in small business. Because of careful attention to detail, careful planning and tenacity, women are known to have a higher success rate in business start up and lifespan than men.
The CFIB as part of its research polled its 85,000 membership. It found that of the nearly 11,000 responses, 68 per cent were male who owned a business, 25 per cent were co-owned but only 6 per cent were solely owned by a female. These numbers in and of themselves mean very little until compared with the exploding number of women entering solely owned proprietorships.
Since 1981 the number of women owned businesses has nearly doubled from 323,000 to 639,000 in 1994. Current projections place the number of women business owners at 680,000 by the year 2000. This is not a fad that will end with the women of this country being silenced by the pistol whipping of bankers. It is a revolution born out of necessity being a response to changing family structures and an increasing sense of independence.
What is needed is either a change in attitude by the money lenders to accommodate this projected rapid growth, an increase in the number of banks and credit unions which cater exclusively to the needs of women entrepreneurs, or an intervention by government to ensure equality.
It would appear from the CFIB report that in spite of the inroads accomplished by women during this century, the banks have refused to wake up to modern realities and still consider women a bad loan risk even before they apply. This is a handicap that must be eliminated if small business is to continue to be the main engine driving our economy and if Canada is to continue realizing its full growth potential.
In the face of this apparent discrimination, what is the minister prepared to do to ensure a level playing field for the sector of our business community which is proving itself to be self-sustaining and very successful?