Mr. Chair, I appreciate the opportunity to participate in this debate. Like so many of my colleagues, I have been following recent developments in Ukraine closely. Our thoughts and prayers go out to all of those affected by the violence.
Our government was very pleased to learn of the dramatic decisions of the Ukrainian parliament over the weekend, and we believe that these developments represent a return to genuine democracy in Ukraine, reflecting the will of the majority of Ukrainians. We are confident that Ukrainian democrats are committed to ensuring an orderly return to democracy and to economic reform. As always, Canada will be there to support Ukrainians during this process.
In the immediate term, our government has responded to the urgent needs of those Ukrainians injured in the protests. Our government also contributed to legal assistance for protesters charged by the Yanukovych government. We are pleased to note that on Sunday, Ukraine's new government dropped all charges against protesters and released them from prison. We must not, however, make assumptions about the path that Ukraine will follow in the wake of these historic events. Rather, we should stand ready to support first steps toward the re-emergence of democracy in the short term and stable economic development in the long term.
After so many years of bad and corrupt governance, the reforms that are needed in Ukraine are dramatic and will require diligence and support from other nations. Canada has always been on the side of Ukrainians who are fighting for their belief in a democratic, European Ukraine, and we believe that Ukraine's best hope for democracy and economic prosperity lies in closer alignment with European and North American norms and institutions.
I would now like to take a few moments to tell members about Canada's efforts in the long-term development work to help Ukraine achieve lasting economic prosperity. Over the years, we have developed a close bilateral relationship, a solid economic partnership, and strong people-to-people ties. In 1991, Canada was the first western nation to recognize Ukraine's independence and, more recently, to herald the release of Yulia Tymoshenko from prison.
Since Ukraine's independence, our development assistance in Ukraine has focused on increasing economic opportunities for Ukrainians in a strengthened democracy. Over the years, Canadian development assistance investments in private sector development and governance in Ukraine have contributed to the country's transition from a centrally planned system toward a free-market, democratic model. However, Ukraine was an integral part of the former Soviet Union and, as such, its economic transition has been slower and more difficult than perhaps anticipated. This transition is not yet complete.
To build resilience and achieve broad-based prosperity, Ukraine must diversify and grow its real economy, especially through developing its small and medium-sized enterprises, a sector that is far smaller than in other European countries. Stimulating the growth of these enterprises will also help to expand and strengthen the middle class. We know from experience that a healthy, civically engaged middle class and healthy small-business sector will help to nurture a well-functioning democracy and add to security and stability.
Given its rich natural resources, low labour costs, and large and well-educated population, Ukraine has excellent economic potential, but it will face challenges in becoming competitive. If concluded, planned free trade agreements with Europe and Canada would help to provide a road map to greater competitiveness within a predictable, rules-based framework.
To increase rates of economic growth in Ukraine, Canada is focusing on three areas of intervention. The first area is to strengthen the investment climate in a sustainable way, by building economic foundations. In practical terms, this means improving the capacity of all levels of government, including local governments, to deliver on the basic needs of citizens and to create a supportive framework for local business growth, and for trade and investment. We are providing security and a level playing field for small and medium-sized enterprises, from fair and transparent regulations to independent and predictable application of the rule of law.
We are also supporting technical assistance from the International Monetary Fund to the government of Ukraine in the areas of banking sector regulation and monetary policy adjustment. We are open to expanding and broadening this assistance should Ukraine's new government demonstrate a commitment to fundamental economic reforms.
The second area of focus is growing businesses, especially those that are micro, small and medium-sized firms, including those in the agricultural sector. Our goal is to help make these businesses more sustainable and competitive. We will do this by helping entrepreneurs access the things we take for granted in Canada, such as business networks, value chains, productivity enhancing technology, insurance, and business financing.
The third area of focus, and one I believe in strongly, for a number of reasons, is investing in people, particularly women and youth. Our objective is to build a skilled, trained workforce of women and men who can seize opportunities in a rapidly expanding labour market that is fuelled by the needs of local and international employers.
As the Ukrainian economy continues to grow, so will the economic ties between our two countries. Canada's development program has contributed significantly to enhancing Ukraine's sustainable economic growth. One of those areas is agriculture, and I hope that during my time for answering questions I will have some time to reflect on some of the incredible investments Canada has made.
Ukraine is a country of focus for Canada. We continue to build into its development. We know that by doing so, our people-to-people ties will be strengthened.
