Jacob Mantle, York—Durham
“The government says Canada has a very low net debt, but it counts public pension funds to get that number. Those pension funds belong to Canadians, not to the government. I want to know if the government believes these pension funds could be used to pay off Canada's debts.”
“Mr. Speaker, I am rising to follow up on a question I asked in question period on the topic of the economy and, in particular, the spring economic update, which we have been debating these last few weeks. In the spring economic update, the government’s charts show that Canada has one of the lowest net debt-to-GDP ratios. In fact, the government brags that Canada’s net debt-to-GDP ratio is far below the G7 average of about 100% and is around 10%. However, with every financial statement, I have learned that we have to read the notes, because in the notes we find the information we need to understand these numbers. When we read the notes to these charts, charts 34, 35 and 36, I believe, in the spring economic update, we will find the following in relation to defining government net debt: “The internationally comparable definition of ‘all levels of government’ includes the central, state, and local levels of government, and social security funds. For Canada, this includes the federal, provincial, territorial, and local and Indigenous government sectors, and the Canada Pension Plan and the Québec Pension Plan.” That is the key provision in the note, right at the end, where it says, “and the Canada Pension Plan and the Québec Pension Plan.” What the government is saying is that it has included in its calculation of debt and assets Canada’s pension plans. Of course, including Canada’s pension plans and their assets will lower the net debt-to-GDP ratio, but these assets have been earmarked for future pension obligations. They are not, or at least should not be, available to satisfy general government debt. Of course, the CPP and QPP are independently managed, as they should be. The government is suggesting in its spring economic update that the pension of Canadians be available to satisfy its debts. I am not arguing about the calculation of net debt to GDP right now. I am simply focused on the idea that the government is suggesting that the assets of the CPP and QPP could be used to satisfy government debts. My question to the parliamentary secretary this evening is this: Is it the position of the Liberal government that the CPP and the QPP could be raided by foreign creditors to satisfy the government’s debts?”
Mr. Speaker, I am rising to follow up on a question I asked in question period on the topic of the economy and, in particular, the spring economic update, which we have been debating these last few weeks. In the spring economic update, the government’s charts show that Canada has one of the lowest net debt-to-GDP ratios. In fact, the government brags that Canada’s net debt-to-GDP ratio is far below the G7 average of about 100% and is around 10%. However, with every financial statement, I have learned that we have to read the notes, because in the notes we find the information we need to understand these numbers. When we read the notes to these charts, charts 34, 35 and 36, I believe, in the spring economic update, we will find the following in relation to defining government net debt: “The internationally comparable definition of ‘all levels of government’ includes the central, state, and local levels of government, and social security funds. For Canada, this includes the federal, provincial, territorial, and local and Indigenous government sectors, and the Canada Pension Plan and the Québec Pension Plan.” That is the key provision in the note, right at the end, where it says, “and the Canada Pension Plan and the Québec Pension Plan.” What the government is saying is that it has included in its calculation of debt and assets Canada’s pension plans. Of course, including Canada’s pension plans and their assets will lower the net debt-to-GDP ratio, but these assets have been earmarked for future pension obligations. They are not, or at least should not be, available to satisfy general government debt. Of course, the CPP and QPP are independently managed, as they should be. The government is suggesting in its spring economic update that the pension of Canadians be available to satisfy its debts. I am not arguing about the calculation of net debt to GDP right now. I am simply focused on the idea that the government is suggesting that the assets of the CPP and QPP could be used to satisfy government debts. My question to the parliamentary secretary this evening is this: Is it the position of the Liberal government that the CPP and the QPP could be raided by foreign creditors to satisfy the government’s debts?