Mr. Speaker, I will repeat what he might have missed.
Under the Investment Canada Act, the Minister of Innovation, Science and Industry must consult the Minister of Public Safety and get their recommendation on national security reviews. That process includes consulting all relevant investigative bodies.
The standing committee report itself notes that as soon as an investment raises a national security concern, Public Safety Canada coordinates a review process involving 18 different federal departments and agencies, including CSIS, the Communications Security Establishment, the Department of National Defence, the Royal Canadian Mounted Police, Global Affairs Canada, Natural Resources Canada, the Public Health Agency and the Department of Finance.
Public Safety noted that this whole-of-government approach brings the relevant expertise to bear as we assess the national security risks of each transaction.
The government is in favour of foreign investment, but not to the detriment of national security.
The Investment Canada Act is the government's primary legislative measure for reviewing foreign investment in Canada. The Minister of Innovation, Science and Industry has to review and approve major foreign investment based on likely net benefit before it can proceed. What is more, every foreign investment, no matter its value and country of origin, is subject to review under the Investment Canada Act's national security review process.
When an investment is subject to the Investment Canada Act, investors have to provide important detailed information. They are required to provide information on every source of funding of the investment and details on the investor's plan for the acquired Canadian company. This information is necessary to allow a thorough review of the investment based on its likely net economic benefit for Canada and whether it could be injurious to Canada's national security. This information is protected by the robust confidentiality provisions of the Investment Canada Act.
For each net benefit review, the minister must consider six factors that are expressly stated in the act. These are, among others, the effect of the investment on the level and nature of economic activity in Canada, including the effect on employment, and the contribution of the investment to Canada's ability to compete in world markets. An investment is only approved if the minister is convinced that it will constitute a global economic advantage for Canada. Each decision is based on a thorough, rigorous review and on the careful review of the investment's potential economic impact.
The national security review process described in the act is just as thorough. This process takes into consideration the nature of the goods involved, including intangible property, as much as it does commercial activities targeted by the investments or the stakeholders involved. Relevant information on each investment is provided to the department and to security agencies, including Public Safety Canada and the Canadian Security Intelligence Service, or CSIS, so they can review the information concerning the investment. These organizations can consult Canada's allies to determine if the investment could be injurious to national security or if an order needs to be issued to address national security concerns.
I know that I only have a limited amount of time, but it is also important to point out that the act takes into account the fact that investments made by foreign state-owned enterprises can be motivated by non-commercial imperatives that could harm Canada's economic or national security interests.
The provisions of the act demonstrate the special attention that is paid to state-owned enterprise investment. That includes a threshold [technical difficulties] for net benefit reviews and state-owned enterprise guidelines. The COVID-19 policy statement and the national security guidelines [technical difficulties] all of these measures related to state-owned enterprises.
It is not just all foreign investments by state-owned investors that are subject to more scrutiny, but also private investors assessed as being closely tied to or subject to direction from foreign governments.
Under the Investment Canada Act, the government already has among the broadest foreign investment review powers in the world. Through existing authorities we can address problematic investments that threaten Canada's national security, while remaining open to most foreign investment. The vast majority of foreign investments in Canada pose no national security risk.
The government continues to engage with our allies, including members of the Five Eyes, on foreign investment issues. The Investment Canada Act is not the only tool that the government uses to protect against national security concerns arising from economic activity.
The standing committee's report raised important points regarding foreign investments, state-owned enterprises and the safeguarding of Canada's national security interests. Whether it be a net benefit or national security review, the reviews conducted under the Investment Canada Act are always very thorough and comprehensive.
I would also like to once again point out the government's commitment to examining investments under the act in terms of their benefit for Canada and Canadians. Pursuant to the Investment Canada Act, the government will continue to ensure that Canada's economic interests are taken into account during the review of foreign investments in Canada.
Across a range of economic-based threats to national security, through budget 2019 our government committed almost $14 million per year on an ongoing basis, which has helped reinforce Canada's robust approach to address national security threats to the economy.
What is more, the government has never and will never compromise Canada's national security, as demonstrated by its excellent track record on that front.