Mr. Chair, it is a great pleasure for me to rise in the House today to speak about Canada's engagement with Africa as well as our pursuit of opportunities in the emerging Asian markets.
Asia is a key focus of our efforts under our global commerce strategy. Our plan is to help Canadian businesses and investors benefit from everything the global economy has to offer.
Today, I would like to outline how our strategy is helping us pursue and build new opportunities in Asia. There is a staggering diversity of opportunity for our businesses and investors to succeed in the Asian markets, especially on the investment front.
Vietnam, for instance, is a growing and dynamic market for Canadian investors. In 2006, the stock of Canadian direct investment in Vietnam was $142 million, an almost 60% increase in one year, with more large projects planned, particularly in the natural resources sector.
To help continue forging these links, Canada is launching a new chapter in our bilateral investment relationship through the negotiation of a foreign investment protection and promotion agreement.
Our goal is a high quality agreement that will enhance the Canadian investment community and our bilateral commercial links with Vietnam.
Indonesia is another important investment destination, ranking fourth in Asia, with a stock of $3.12 billion worth of Canadian investment. Canadian and Indonesian officials have held two rounds of exploratory discussions so far toward a FIPA, and we plan to hold the first round of negotiations shortly.
Turning to Singapore, Canadian negotiators are continuing to push for a bilateral free trade agreement. As pointed out in our report, Singapore is a commercial business hub and springboard into Southeast Asian value chains.
Building more commercial links to Singapore through a free trade agreement, for example, would greatly enhance Canada's profile across the region and bring many benefits to Canadian businesses, particularly in the areas of investment and services.
China is another top priority of our commercial efforts. Over the years we have built a strong and sophisticated commercial relationship with China. Indeed, not long ago, both the Minister of Foreign Affairs and the Minister of Natural Resources visited China to reinforce this.
A comprehensive market plan has been developed in cooperation with Canada's business community to continue making connections between Canadian expertise and Chinese demand in a number of sectors. We are planning to add more trade commissioners in China to give our businesses the support they need to outdo their competitors and capture opportunities in a number of key sectors.
Our global commerce strategy also places a key focus on driving more two-way investment between our countries.
Now, I would like to turn to India. Canada and India have long been partners on the world stage. As I observed during my visit to India earlier this year, Canada and India share common values of freedom, democracy, human rights and the rule of law. It is vital that Canada maintain a strong relationship with India, the world's largest democracy and an increasingly important international partner.
This partnership extends into the commercial realm where our nations have built a sophisticated business relationship that saw our two-way trade reach an all-time record high last year.
Like China, we have developed a targeted market plan for India that emphasizes opportunities in key sectors, including agriculture, oil and gas, electric power, aerospace, information and communications technology, infrastructure and service industries. Canada has a proven expertise in all of these areas and can help India as it continues its economic ascent. Two-way investment is another hallmark of the Canada-India relationship.
Last year, we concluded negotiations toward a Canada-India foreign promotion and protection agreement that will give investors in both countries the access and protection they need in each of our markets. At this point I would like to emphasize that it was the current Minister of Foreign Affairs who was instrumental in signing this agreement.
Since the signing of the Canada-India science and technology cooperation agreement in 2005, researchers from both countries have been working together to develop and commercialize tomorrow's technological breakthroughs. We also recognize the importance of a strong Canadian presence in the Indian marketplace.
We currently have commercial representation in five Indian cities and our Prime Minister recently announced the opening of two new trade offices in Hyderabad and Kolkata, formerly known as Calcutta, as well as additional commercial staff to our missions in Mumbai and New Delhi. An expanded presence in India will allow Canada to create even more commercial connections between our two nations and create wealth, prosperity and opportunity for both countries.
Finally, we cannot talk about our efforts in capturing more business in Asia without talking about the Asia-Pacific gateway and the corridor initiative. The initiative is a bold visionary project to boost our west coast transportation infrastructure capabilities and to create the premier gateway of choice between Asia and North America.
With our partners in the provinces and the private sector, we are making an unprecedented effort to boost our transportation and logistics systems and establish new links between North America and the Asian giants.
We are seeing solid progress with the recent opening of the new expanded Fairview Container Terminal at the port of Prince Rupert, giving it a significant advantage over key American ports. The gateway project is yet another example of Canada's commitment to our Asian partners and of our clear focus on creating two-way supply chains that will drive trade between our countries into the future.
I would now like to turn to Africa. I would like to talk about Canada's long history of dedicated commitment to Africa. Both in Canada and Africa, Canadians have worked for and with Africans to alleviate suffering and improve lives.
Today, many Canadians, and this includes a growing African diaspora, maintain this commitment. They are involved through family ties, churches, mosques, schools, and cultural and community organizations.
In spite of the often large negative impression the news headlines leave, Africa has made real progress compared with a decade ago with more reform-minded democratic leaders taking responsibility; more prudent economic management with GDP growth up and inflation down; fewer conflicts, six ended in the past 10 years; and more democratic elections, 45 elections in sub-Saharan Africa in the past five years, of which two-thirds were deemed free and fair.
However, social, economic and health challenges remain immense. Serious conflict and governance problems persist. The progress achieved is fragile and must be sustained.
The government has pursued a focused and principled approach in sub-Saharan Africa. Our values are those all Canadians cherish: freedom, democracy, human rights and the rule of law. Our interests comprise major aid commitments, growing trade and investments, and dealing with key regional security risks.
At this time I would also like to acknowledge the hard work the Minister of International Cooperation has done in promoting the Africa agenda where she has made a difference and she is fighting for effective aid delivery.
Canada is meeting its commitments to Africa. We are doubling annual aid to Africa from 2003-04 to 2008-09 to $2.1 billion. We will meet this objective.
Last December, the Minister of Finance announced a $1.3 billion contribution over three years to the World Bank's International Development Association. This represents a 25% increase in Canada's contribution. About half of these funds will go to Africa.
Last year the Minister of International Cooperation announced nearly $400 million for development in Africa. This includes our contribution to the African Development Bank.
Canada is already obtaining better results and making a difference, especially in countries where we have a long term, well established aid partnership. We continue to make progress in poverty reduction, health and education, democratic governance, and peace and security.
For example, Ghana is on track to halve extreme poverty by 2015, thereby meeting a key millennium development goal.
Earlier this year I visited Sudan where our government announced a new Canadian investment of up to $275 million in security, diplomacy and aid initiatives, as was just announced by the Minister of Foreign Affairs for our commitment to Sudan.
Canada has played a leadership role in supporting international efforts to establish sustainable peace and long term stability in Sudan. We remain committed to those goals. All parties continue to work toward building the culture of peace and stability throughout the country and to support sustained efforts to do so.
Since we are on topic of aid, let me say that we know we must also make our aid more effective and improve results. The government will do this by bringing more focus, more efficiency, and more accountability to our programs.
The government has focused attention on the regional dimension of these issues. We are helping Africans to build and strengthen their security architecture.
We support the African Union and other regional institutions, such as the Economic Community of West African States through capacity building and peace support programs and peacekeeping operations. This will enhance the ability of Africans to resolve conflict, improve regional stability and protect civilians.
In conclusion, Canada's global commerce strategy is squarely focused on capturing opportunities, both in the most exciting global market as well as working to ensure that Canada is there standing for Africa.