Creating the right conditions for Canadian businesses to succeed abroad creates jobs and opportunities at home
December 5, 2013 - The Honourable Ed Fast, Minister of International Trade, today announced that the foreign investment promotion and protection agreement (FIPA) between Canada and Tanzania will come into force in the coming days. Minister Fast made the announcement following his meeting with Abdallah Omar Kigoda, Tanzania’s Minister of Industry, Trade and Marketing, on the margins of the Ninth World Trade Organization Ministerial Conference in Bali, Indonesia.
“Our government is committed to creating the right conditions for Canadian businesses to compete and succeed internationally, and this agreement is yet another example,” said Minister Fast. “This agreement will provide better protection for Canadian companies operating in Tanzania and strengthen economic ties between our two countries.”
A FIPA is a treaty designed to promote and protect Canadian investment abroad and foreign investment in Canada through reciprocal, legally binding provisions. By ensuring greater protection against discriminatory and arbitrary practices, and by enhancing the predictability of a market’s policy framework, a FIPA gives businesses greater confidence in investing.
Canadian mining companies are among the largest foreign investors in Tanzania. Tanzania is also the fourth-largest destination for Canadian mining investments in Africa, estimated at $2.5 billion in 2012. In addition to the mining industry, Tanzania presents opportunities for other Canadian business sectors, including oil and gas, transport and power infrastructure, and education.
“Today’s announcement is further proof that we are continuing to deliver the most ambitious pro-trade and pro-investment plan in Canada’s history, which is opening new markets and creating jobs and opportunities at home,” said Minister Fast. “Under the Global Markets Action Plan, our government is concentrating its efforts on the markets that hold the greatest promise for Canadian business. As part of these efforts, we’re ensuring that the right policies are in place and the right services are provided to help Canadian businesses continue to expand and succeed abroad.”
In addition to Tanzania, Canada has concluded FIPAs with Benin, Cameroon, Côte d’Ivoire, Guinea, Madagascar, Mali, Nigeria, Senegal and Zambia as part of its plan to promote and protect Canadian investments in Africa. It is also engaged in FIPA negotiations with Burkina Faso, Ghana and Tunisia, and has a FIPA in force with Egypt.
Canada has concluded, signed or brought into force FIPAs with 22 countries since 2006—9 in 2013 alone—and is currently negotiating many more. Canada currently has 25 FIPAs in force around the world.
Photo: Minister Fast with Abdallah Omar Kigoda, Tanzania’s Minister of Industry, Trade and Marketing
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For further information, media representatives may contact:
Rudy Husny
Press Secretary
Office of the Honourable Ed Fast
Minister of International Trade
613-992-7332
rudy.husny@international.gc.ca
Media Relations Office
Foreign Affairs, Trade and Development Canada
613-995-1874
media@international.gc.ca
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