Mr. Speaker, on Sunday, October 28, 2001, I attended a meeting in Ottawa with the federal Minister of Finance, the Honourable Paul Martin, along with my provincial and territorial colleagues. The meeting was organized in order to allow Finance Ministers to discuss current economic and fiscal situations and to share outlooks in advance of the December federal budget.
We all agreed on the importance of a coordinated federal/provincial/territorial response to current economic and fiscal challenges. Although Mr. Martin did not share any specifics about his budget, we did discuss the revenue impacts of short-term economic conditions and the need to increase spending on security measures. However, all Ministers agreed that Canadians should be reassured that, while the short-term economic outlook is less certain, Canada's economic fundamentals remain sound. Low interest rates, reduced taxes and sound fiscal management are providing a secure base to build economic recovery.
The Northwest Territories is in a particularly fortunate position as our economy has not been impacted to the same extent as other jurisdictions by recent events and our prospects remain very positive.
The current slowdown is expected to have adverse effects on federal, provincial and territorial budgets. However, Ministers agreed that our common goals in addressing fiscal issues should be fiscal stability and economic security.
From the Northwest Territories' perspective, the links between our formula financing revenues and provincial spending and national economic growth mean that while we intend to maintain our overall fiscal strategy, we must exercise caution in how we proceed.
Finance Ministers also discussed the need for federal support for the national health care system. While issues of national security are of top priority in the short run, long-term issues such as health care, including federal transfers, cannot be forgotten. We have agreed to meet again early in the new year to discuss these issues further. Thank you, Mr. Speaker.
-- Applause