Madam Speaker, let me congratulate you on your appointment to this position. This is the first opportunity I have had to do this.
I am pleased to be able to provide some information on the background and history of the Convention on International Interests in Mobile Equipment and the Protocol to the Convention on International Interests in Mobile Equipment on Matters Specific to Aircraft Equipment.
As evidenced by recent events such as September 11, the global economic downturn, and SARS, the aviation sector is particularly vulnerable to economic shocks and other geopolitical events.
This industry would benefit greatly from a harmonized international legal regime to increase certainty for those providing credit to airlines and aircraft manufacturers.
It was a Canadian delegate to the International Institute for the Unification of Private Law, or UNIDROIT, who first proposed the establishment of an international registry for security interests in aircraft in 1988. More than 15 years later, this initiative has finally become a reality. It is strongly supported by both the airline and manufacturing elements of the aviation industry, as well as by those providing financing.
In the mid-90s, it was decided that the convention and protocol would be developed as a joint project co-sponsored by Rome-based UNIDROIT and the Montreal-based International Civil Aviation Organization or ICAO.
UNIDROIT has 59 member states. It is a leading international organization in the harmonization of private law and the preparation of uniform rules of private law for adoption by states. The ICAO, of which 188 states are members, is the specialized agency of the United Nations for matters relating to international civil aviation, including the recognition of rights in aircraft. Its membership is, therefore, virtually universal.
Canada played a leadership role in the negotiation of the convention and protocol, which are designed to facilitate the financing of aircraft equipment--airframes, aircraft engines and helicopters. There was--