Madam Speaker, this government has supported and will continue to support increasing small business access to financing. However the CRA approach is not the only vehicle under which this can be done.
It is also important to assess the impact this legislation has had in the United States. Overall the legislation has been useful in raising U.S. lenders' awareness of their lending patterns by requiring data reporting and record keeping.
It is also not clear whether a CRA regime would be well suited to Canada. Unlike the regional and highly fragmented banking system in the U.S., we already have a national banking system that transfers resources from savers to borrowers in all regions of this country. My concern is that any policy that requires balancing of lending and deposits within communities could in fact serve to restrict rather than propel economic growth.
It is also important to mention that the House industry committee represented by members of Parliament from across this country has successfully convinced the banks to provide information, without the CRA legislation, on business loans by size, region and industrial grouping. We will continue to monitor this reporting to ensure that the banks continue to do their share in financing of small business.
On the issue of mergers which the member brought up as well, he talks about little reassurance being given by the finance minister and the fact that he calls for cross-country hearings. I would say and we have said time and again that this deal is on hold. It is going nowhere until we have had the opportunity to hear from the task force and Canadians have had their say on its recommendations.
Our bottom line is that in fact until the big questions are answered and unless this deal works for Canadians, it will not work at all. I cannot be any clearer than that.
Once again I thank the hon. member for his interest. I invite him to join the finance committee when in fact we go across the country to hear from Canadians.