(Mississauga) – May 26, 2009 – Export Development Canada (
EDC
) is helping Canadian companies get through the recession by adding an extra $3 billion in financial capacity to the domestic market, President and
CEO
Eric Siegel said today.
Mr. Siegel delivered his remarks at EDC's third Annual Public Meeting at Mississauga's International Centre, attended by more than 220 Canadian business leaders, stakeholders and members of the public.
“The quickest and most effective way for EDC to help accommodate the credit needs of Canadian companies is to partner with experienced financial institutions in Canada,” said Mr. Siegel. “That's why we're working in partnership with the private sector to share the risks and bring additional capacity to the market.”
Mr. Siegel pointed to recent initiatives launched under EDC's new domestic powers which will facilitate additional domestic credit, surety and contract guarantees totaling $3 billion. This will allow private financial institutions to do more for their customers and take on new business.
Mr. Siegel said that, thanks to years of preparation in better economic times, EDC has been able to step into an expanded role to help Canadian companies through tough times, now that traditional credit has become a scarce commodity. By the end of April, he noted, EDC had facilitated $22.5 billion in trade and investment by Canadian companies, including 925 new customers. The amount of business is greater than at the same time last year, the year when EDC undertook the most business in its corporate history.
Mr. Siegel also emphasized that EDC continues to develop its core business – financial solutions for export sales, foreign investments and supply chain management – which will continue to help Canadian companies recover from recent economic turmoil by growing Canada's export base.
“This credit crunch has made it clear that companies need to understand the financial tools at their disposal,” he said. “The more we can help companies diversify their business opportunities, the less they are limited by the conditions in Canada, the U.S. or any other single country.”
And while economic times are tough, particularly in U.S. markets, Mr. Siegel pointed to positive signs that Canadian exporters and investors are diversifying their export markets at a solid pace.
“Our export business in emerging markets reached nearly $5.6 billion in the first four months of this year,” he said. “This will help Canadian companies capitalize on the eventual recovery faster than in previous downturns, and faster than their competitors in other countries.”
EDC is Canada's export credit agency, offering innovative commercial solutions to help Canadian exporters and investors expand their international business. EDC's knowledge and partnerships are used by more than 8,300 Canadian companies and their global customers in up to 200 markets worldwide each year. EDC is financially self-sustaining, a recognized leader in financial reporting and economic analysis, and has been recognized as one of Canada's Top 100 Employers for eight consecutive years.
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For the full text of Mr. Siegel's speech please visit: http://www.edc.ca/english/docs/speeches/2009/mediaroom_16482.htm
Media contact:
Phil Taylor
Export Development Canada
Tel: (613) 598-2904
Blackberry: ptaylor@edc.ca
