VZCZCXYZ0001
OO RUEHWEB

DE RUEHOT #0106/01 0282133
ZNR UUUUU ZZH
O R 282132Z JAN 10
FM AMEMBASSY OTTAWA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 0321
INFO ALL CANADIAN POSTS COLLECTIVE
RUEHFR/AMEMBASSY PARIS 0022
RUEHKO/AMEMBASSY TOKYO 0009
RUEHLO/AMEMBASSY LONDON 0009
RUEHMO/AMEMBASSY MOSCOW 0012
RUEHRL/AMEMBASSY BERLIN 0009
RUEHRO/AMEMBASSY ROME 0009
RUEHUL/AMEMBASSY SEOUL 0006

UNCLAS OTTAWA 000106 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PREL ECON ETRD CA
SUBJECT: CANADIAN PRIME MINISTER LAYS OUT G8, G20 PRIORITIES 
 
REF: OTTAWA 100 
 
¶1.  (SBU) Summary: In Davos, Canadian Prime Minister Harper set out 
his agenda as host of the June 2010 G8 and G20 summits, focusing 
primarily on financial sector reform, stimulus programs, and global 
trade and growth.  He also underscored a continued important role 
for the G8 and its "close cooperation of friends and like-minded 
allies" in promoting democracy, development, peace, and security, 
and reiterated his intention to launch a major initiative to 
improve maternal and child health in the developing world (reftel). 
At home, his party's poll numbers continue to slide.  End summary. 
 
 
 
"REAL RESULTS" OVER "LOFTY PROMISES" 
 
 
 
¶2. (U)  Prime Minister Stephen Harper outlined his priorities as 
host of G8 and G20 summits in Muskoka (Huntsville) and Toronto, 
Ontario in June in a keynote address to the World Economic Forum in 
Davos on January 28.  He identified financial sector reform, 
stimulus programs, and global trade and growth as priority areas 
for the G20 under the theme "Recovery and New Beginnings."  The PM 
pledged that Canada would use its leadership role at both the G8 
and G20 summits to focus on global challenges, push for "real 
results" over "lofty promises."   The following is a link to the 
full speech:  http://www.pm.gc.ca/eng/media.asp?id=3096 
 
 
 
G8 LEADERSHIP IN DEMOCRACY, DEVELOPMENT AND SECURITY 
 
 
 
¶3.  (U)  In his keynote address, PM Harper underscored a continued 
important global role for the G8 in promoting democracy, 
development, and peace and security.  He argued that the G8 should 
show leadership in combating the "daunting threats" of terrorism, 
piracy, climate change, and nuclear proliferation, which required 
"the close cooperation of friends and like-minded allies."  He 
pressed the G8 to live up to commitments on foreign aid, noting 
that Canada had already doubled its aid to Africa and was "on 
track" to double foreign aid in 2010.  He called for a new G8 focus 
on maternal and child health in the world's poorest regions, a plan 
he had first outlined at home on January 26 (reftel).  He stated 
that Canada had "indications" that "some" other G8 partners "share 
and are receptive" to this proposal.  Underscoring that it was 
"time to mobilize," he called on G8 partners to demonstrate a 
"unity of purpose" and to "replace grand good intentions with 
substantive acts of human good will."  He insisted that 
"accountability...is the prerequisite for progress." 
 
 
 
FINANCIAL REFORM, STIMULUS AND TRADE 
 
 
 
¶4.  (U)  For the G20, PM Harper highlighted financial sector 
reform, the continued need for stimulus programs, and enhancing 
global trade and growth.  He praised the "Canada Advantage" of a 
stable national financial sector, and supported the need to 
strengthen financial regulation, while warning against "punitive" 
and "arbitrary" bank regulation.  He advocated national standards 
subject to international peer review.  Arguing that the global 
economic recovery remained "a mile wide and an inch thick," he 
counseled the need to stay the course on stimulus programs, while 
cautioning that it was not too early to start thinking of an "exit 
strategy."   PM Harper underscored the importance of avoiding 
protectionism as central to economic growth and eliminating 
poverty.  He called for states to exercise "enlightened 
sovereignty" --  "the "natural extension of enlightened 
self-interest" - and for "practical, durable solutions."  He noted 
that the G20 meeting in Toronto should be "less about new 
agreements than accountability for existing ones." 
 
 
 
POLITICAL CHALLENGES AT HOME 
 
¶5.  (U)  PM Harper's focus on the global economy coincided with the 
release of three national polls that pegged the ruling Conservative 
Party in a virtual tie with the Official Opposition Liberal Party, 
at between 31 and 33 percent of voters.  Throughout the early fall, 
the Conservatives had enjoyed as much as a ten-point lead over the 
Liberals.  However, Conservative support began to slip in November 
over allegations that the government knew of possible mistreatment 
of Afghan detainees turned over by Canadian Forces to Afghan 
authorities, and fell sharply after PM Harper convinced the 
Governor General to prorogue (suspend) Parliament in late December 
(for the second time in a year) until March 3.  All three 
opposition parties have alleged that the government acted primarily 
to shut down parliamentary hearings on the detainee issue. 
 
 
 
COMMENT 
 
 
 
¶6.  (SBU)  PMr Harper has set down some markers for his broad 
economic agenda, looking ahead to the federal budget in March and 
to key G8 and G20 objectives.  He is using Canada's relative 
financial sector health to stake out a position of economic 
leadership globally.  He may try to use this to reinforce Canada's 
position in the G8, even as others look increasingly to the G20 for 
coordination on global issues. End comment. 
JACOBSON