In the 2015 federal budget, the Canadian government announced its intention to create a $300-million initiative to encourage private investment, job creation and growth that will fight extreme poverty in developing countries. Canada is the last G7 country to create a public arm to support private investment in development. Some of our counterparts have been in this business for over 50 years, doing good and making money at the same time.This initiative looks even tardier when one considers that successive Canadian governments since the early Trudeau era have bandied about the idea of creating a public entity to catalyze more private capital for development.
Brett House is a Canadian international finance and global macro economist. He is a Visiting Scholar at Massey College, University of Toronto; a Senior Fellow and Lecturer at the Jeanne Sauve Foundation; and an Advisor to Tau Investment Management, a start-up impact fund. Brett's previous roles spanned multilateral policy institutions, including the UN, IMF and World Bank; financial markets in London and New York; and academic teaching and research. His current work focuses on sovereign debt restructuring, development finance, impact investing and macroeconomic growth.
Canada is the only G7 country that doesn't have a publicly-owned, profit-driven development finance institution (DFI) that can help private business invest in jobs, growth and markets in low-income countries. We're not just missing an opportunity to raise people out of poverty: we're also missing a chance to build Canadian business while earning returns for Canada's stretched taxpayers.
11/25/2014 01:05 EST
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