Mr. Speaker, for the European Bank for Reconstruction and Development’s, EBRD’s, latest breakdown as of December 31, 2010 of the callable and paid-in share capital of all members, including Canada’s, please consult page 76 of the EBRD’s “Financial Report 2010”, available at www.ebrd.com/downloads/research/annual/fr10e.pdf.
As per section 11.31 of the 2011 public accounts of Canada, available at http://www.tpsgc-pwgsc.gc.ca/recgen/pdf/49-eng.pdf, callable share capital represents a type of contingent liability where a portion of Canada’s capital subscription to an international organization has not been paid-in and is subject to a call by that organization. Due to the very strong capital position of the EBRD and its conservative financial practices, the likelihood of such a call is deemed to be extremely low.
However, as noted earlier in the latest report, “Canada at the European Bank for Reconstruction and Development 2010: Report on Operations Under the European Bank for Reconstruction and Development Agreement Act”, available at http://www.fin.gc.ca/admin/bank-banque/pdf/ebrd-berd10-eng.pdf, in May 2010 the board of governors voted to temporarily increase the bank’s total authorized capital from €20 billion to €30 billion. Of that increase, €1 billion consists of a reallocation of the bank’s reserves to paid in shares. This reallocation took effect on May 14, 2010. As the shares were distributed among members based on existing shareholdings at the bank, there is no impact on relative voting share. The remaining €9 billion consists of a temporary increase in callable shares. As such, Canada’s current shareholding at the EBRD is €1,020.49 million, consisting of €212.85 million of paid-in share capital and €807.64 million of callable share capital.