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“Our meetings in Crowbush were productive in terms of keeping ministers informed of Canada’s evolving progress in the global economy. It was an excellent opportunity to share information on the challenges and opportunities facing provinces and territories as we move out of the economic downturn. We were also successful in reaching consensus on the direction we will take to enhance our retirement income system, which is a priority for Canadians,” said the minister.

Ministers received a presentation on Canada’s fiscal and economic progress by Deputy Bank of Canada Governor John Murray. Canada is in a very strong fiscal position based on many indicators. Its very low and stable debt-to-GDP ratio gives it a significant fiscal advantage over other G7 countries such as Japan, the United States and Germany. “Canada is now seen as one of the best countries in the world to do business. Ministers are committed to working together to build our national brand and encourage further international investment in Canada,” said the minister.

Ministers participated in a roundtable discussion on the lessons learned by provinces and territories during the economic downturn. All agreed that Canada is much better off because of its federal and provincial stimulus spending plans, and that it is now time to move toward sustainable long-term budget balance. Prince Edward Island is one of seven provinces and territories that plans to return to a balanced budget situation by 2013-2014.

One of the highlights of the meeting was the discussion on strengthening Canada’s retirement income system. Ministers decided to pursue three options. First, they will explore pension innovations that would allow financial institutions to offer broad-based defined contribution arrangements to multiple employers, all employees, and the self-employed.

Secondly, they will work together on financial literacy initiatives that help people make more informed decisions when planning for their retirement.

Finally, they will consider a modest, fully-funded, phased-in approach to increase coverage and adequacy of Canada Pension Plan benefits.

“I am pleased that we were able to reach this measure of agreement on targeted measures to promote pension coverage and savings without compromising the current system, or imposing additional burdens on employees, businesses or future generations,” said Mr. Sheridan.

Ministers tasked their officials to continue with the development of specific proposals to improve Canada's retirement income system for consideration at their next meeting in the fall of 2010.

The Task Force on Financial Literacy is expected to table its report to the federal minister by the end of the year.

Minister Sheridan said the meetings were an excellent opportunity to showcase the Island. “People had a great time and they were quite taken with the beauty of the Island and the hospitality of our people,” he said.