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Minister of Foreign Affairs appearance before the Committee of the Whole – Supplementary estimates (A) – Briefing material

2020-06-17

Table of contents

• Briefing material
• Question period monitoring
• COVID-19 issues notes
  • Canadian leadership
  • Repatriation efforts
  • Emergency loan program for Canadians abroad
  • Delivery of consular services
  • Global market support
  • International assistance (PPE)
  • Costs
  • China
    • Foreign state-owned investor
    • Greater China donations
    • CanSino vaccine
  • United States
    • Border issues
    • U.S. economic prosperity network
  • Export Development Canada (Related support / Oversight)
  • India N95 export ban and pharmaceutical imports
  • International education
  • International pledge for open supply chains
  • World Health Organization
• Supplementary estimates (A) 2020-2021
  • Summary documents
    • Page proofs supplementary estimates A
    • Overview of 2020-21 supplementary estimates A
    • 2020-2021 supplementary estimates A – By vote
    • Statutory funding
  • Funding requests
    • Funding to implement the feminist international assistance agenda
  • Adjustments
    • Payments for consular assistance pursuant to the public health events of national concern payment act
  • Increase to grant ceiling
    • Internal reallocation of resources from contributions and operating to grants from the international development assistance for multilateral programming
  • Public accounts 2018-2019
    • Public accounts – Overview
    • Public accounts – Losses
    • Public accounts – Travel and conferences
    • Public accounts – Lapses
  • Spending and assets
    • Quasi-stat note
  • Funding by core responsibility
    • Briefing note on departmental result report 2018-2019
    • Overview – Funding by core responsibility
    • Development, peace and security programming
    • Support for Canada's presence abroad
    • International advocacy and diplomacy
    • Trade and investment
    • Help for Canadians abroad
    • Internal services

Question period monitoring

COVID-19 issues notes

Canadian leadership

• As of June 2, ¶¶ÒùÊÓƵ has facilitated the safe return of over 41,461 Canadians from 111 countries – the Department’s largest and most complex consular undertaking ever, which continues.
• Canada is providing leadership in coordinating multilateral efforts to respond to COVID-19 challenges, including through the Ministerial Coordination Group, the Development Ministers Contact Group, the G7, the G20, and the Alliance for Multilateralism.
• Global coordination is essential to deliver a strong and coordinated global health response, to mitigate unprecedented disruptions to global trade, and to encourage a global recovery that supports sustainable and inclusive economic growth and development.

Supplementary messages

• Canada’s network of 178 missions in 110 countries provided critical on-the-ground support to Canadian travelers – despite challenging operating environments worldwide, all missions remain open to serve Canadians.
• Government is actively engaging with partners around the world to facilitate the return of Canadian travellers and find ways to enhance international cooperation to respond to and defeat COVID-19, including to accelerate work on diagnostics, treatments, and the development of a vaccine.
• As the COVID-19 crisis evolves, Canada is poised to play a leadership role in: fighting the pandemic; managing financial stresses and stabilizing economies; and supporting the most vulnerable and reinforcing recovery.

Supporting facts and figures

• Diplomatic Action
  • PM Trudeau co-hosted with PM Andrew Holness of Jamaica and UN Secretary-General António Guterres a special high-level meeting (28 May) to advance concrete solutions to the development emergency caused by the COVID-19 pandemic. The event explored how to facilitate global solutions to address the economic crisis and its effects on the world’s most vulnerable.
  • PM Trudeau co-hosted high-level online pledging conference on 4 May, with the EU and Japan, raising €7.4 billion, with over $840 million from Canada.
  • Minister Champagne established the Ministerial Coordination Group on COVID-19, while Minister Gould and UK Secretary of State Trevelyan launched a new Development Ministers Contact Group on COVID-19. Both groups meet on a regular basis.
  • Minister Champagne has held 8 Ministerial Coordination Group Meetings (9th scheduled for Tues 9 June); since March, PM Trudeau and Canadian ministers have participated in 18 G7 and 12 G20 Ministerial and Leader-level meetings on COVID-19; and Ministers Champagne, Gould, and Ng have issued 44 joint statements with international partners since the onset of the pandemic.
• Total Canadian international assistance allocated to COVID-19 response (as of May 29):
  • $200 million from the International Assistance Envelope Crisis Pool
    • $84.5 million to humanitarian partners to support lifesaving appeals
    • $40 million to the Coalition for Epidemic Preparedness Innovations for COVID-19 vaccine research and development
    • $30 million to respond to requests from other countries

Repatriation efforts

• The Government of Canada is working with airlines and foreign governments to assist in the return to Canada of Canadian travellers unable to do so as a result of COVID-19 airspace closures.
• As of June 4th, 41,439 Canadians citizens and Permanent Residents have returned to Canada on 414 Canadian-facilitated and assisted commercial flights from 109 countries.
• The Emergency Watch and Response Centre is available to Canadians seeking assistance on a 24/7 basis and has received 104,459 calls and 202,786 emails since March 13.

Supporting facts and figures

• GAC has helped Canadians and Permanent Residents return to Canada by air from 109 countries.  The top 5 include:  India (13,270), Pakistan (4,330), Peru (2,652), Philippines (1,704), and Algeria (1,382).
• As of June 5th, 6,070 Canadians passengers and crew were assisted in returning to Canada from 196 vessels and 1 hospital ship.
• As of June 5th, there were 331,807 Canadians registered abroad via the Registration of Canadians Abroad (ROCA) service.   Most of these Canadians are residing or seeking to remain abroad.
• ¶¶ÒùÊÓƵ continues to work to assist those Canadians seeking to return home, sheltering in place, or choosing to remain abroad.

Background

• On March 21, the Prime Minister announced new measures by the Government of Canada to help bring Canadians home from abroad through assisted flights returning from countries with commercial airspace closures.
• The flights prioritize stranded travellers who are Canadian citizens, Canadian permanent residents, or immediate family members of Canadian citizens.
• Flight costs are recovered on a commercial basis.  The COVID-19 emergency loan program is available to those Canadians who require additional financial support.
• Canadian missions abroad facilitate and support these flights through a variety of means, including obtaining diplomatic clearances and authorizations, assisting in navigating domestic lockdowns and providing ground transportation, negotiating with local authorities and providing a variety of consular support services to vulnerable Canadians and their families.

Emergency loan program for Canadians abroad

• The COVID-19 Emergency Loan Program for Canadians Abroad continues to provide financial support to Canadians affected by COVID-19 who want to return to Canada or need to shelter in place abroad.
• To date, the program has successfully assisted more than 4,100 Canadians and Permanent Residents to return home, by issuing loans totalling $13.7M.

Update

The Emergency Loan Program continues to support Canadians abroad without any other financial means to get home.

Supporting facts and figures

• The total amount of loans issued as of June 4, 2020 represents $13.7 million.
• The total number of loans approved as of June 4, 2020 is 4,120.
• There are approximately 600 loan applications under review.
• The five countries with the highest number of approved loans are: India (770), Pakistan (297), Philippines (259), Ghana (159) and Cameroon (157).
• Loans are repayable and are interest-free for six months.

Background

The COVID-19 Emergency Loan Program is a temporary financial assistance program to help Canadian citizens and Permanent Residents outside Canada affected by COVID-19 to return home, or to help them shelter in place while they are working toward returning to Canada. They must demonstrate that prior to the COVID-19 pandemic, they had existing plans to return to Canada that have been disrupted by COVID-19 impacts on travel, and that they do not have another source of funds.

The maximum amount of a loan is $5,000 per person to cover the return to Canada and/or short-term needs while they work toward returning home.

Loans are repayable but granted on an interest-free basis for six months.

Consular issues

• The Government of Canada recognizes the impact that COVID-19 has had on Canadians around the world and our consular network continues to actively support Canadians who have not been able to come home and who must “shelter in place”.
• The delivery of that assistance is now more complex and time-consuming and we are adapting services by taking advantage of the different communication means to assist Canadians abroad remotely.
• We have set aside up to $3 million in funding to develop a program that will expand our local network of partners to help our missions provide services to vulnerable Canadians abroad.

Supplementary messages

• Despite the exceptional circumstances that also affect our personal in missions, we continue to offer assistance to Canadians abroad and their relatives by using alternate communication means to avoid in-person contacts and ensure the safety and security of consular officers.
• We continue to work with foreign governments and with external partners around the world to provide Canadians the support they need.
• While our ability to physically visit Canadian detainees abroad has been constrained, we have been able to maintain contact in most cases and continue to use diplomacy and advocacy to request access.
• We keep Canadians informed of the latest travel advice through our different communication channels.

Update

While our operations to bring Canadians home are winding down, our support to Canadians abroad remains. Missions continue to provide dedicated consular support to remaining Canadians during the “Shelter in Place”.

Supporting facts and figures

• Canadians are facing new issues and challenges abroad. These include renewal of prescribed medication, termination of or limitation to insurance coverage, finding specialized medical service providers, visa overstay, delays in obtaining death certificates, delays with local authorities (court proceedings, investigations, autopsies), travel restrictions for adopting or surrogate parents, safe arrivals and finding shelters in Canada in cases of repatriation.
• $3M in consular partnership funding is now available to support missions in engaging in local partnerships with organizations that can provide specific services to Canadians, including in areas such as medical liaison, prescription translation, psycho-social support, shelter services, support for families facing domestic violence, and services to detainees.

Background

The delivery of that assistance is now more complex and time-consuming. The way assistance can be provided may vary greatly from one mission to another, and will be delivered in the context of altered and restricted mission postures. To support Canadians in this phase of response, alternative service delivery mechanisms are in place such as remote delivery of assistance, the provision of transactional services by appointment only and the delivery of assistance through local partners if face-to-face assistance is required. We are focusing on the most pressing needs by adapting to local conditions and by taking advantage of the different communication means to assist Canadians abroad remotely. Contact with Canadians detained abroad continue to be maintained, either by using alternative contact methods or by in-person visits whenever possible.

The Emergency Watch Centre and missions are working to provide support to those in difficult circumstances through information on local conditions and health advice. The needs of Canadian abroad are being continually monitored.

Consular assistance is provided to Canadian citizens only but, in an emergency event, some services may be extended to permanent residents with limited exceptions.

PPE and medical supplies global market support

• ¶¶ÒùÊÓƵ continues to work with its international partners on maintaining strong global supply chains ensuring the continued flow of medical supplies across borders.
• The Trade Commissioner Service is supporting Canadian life sciences companies with global solutions for COVID-19, including to access international procurement opportunities.

Supplementary messages

• Canada has been consistent in standing with like-minded international partners to support global trade and investment and maintain open supply chains during this health crisis. 
• Canada is a signatory to a number of international declarations to remove existing trade-restrictive measures on essential goods, especially medical supplies.
• ¶¶ÒùÊÓƵ is committed to working to resolve disruptions to global supply chains to ensure the flow of vital medical supplies, including PPE, to those in need both domestically as well as globally. 
• The Trade Commissioner Service (TCS) has been working to support Canadian companies that have capacity to meet domestic and international demands of medical supplies throughout the COVID-19 pandemic.

Supporting facts and figures

• To date, the TCS has tracked 80 companies with life sciences solutions related to COVID-19. Of these companies, 22 produce PPE.
• The TCS has tracked 41 Canadian companies who have retooled their manufacturing facilities to start developing products to assist with the COVID-19 pandemic. Of these companies, 12 have retooled to develop PPE such as masks, gowns, gloves and face shields.
• To date, 988 COVID-19-related services have been delivered by the TCS at regional offices and missions abroad to support Canadian organizations in their international activities.

Background

Assisting Canadian suppliers of PPE

Since the COVID-19 pandemic began in early 2020, there have been a number of TCS successes. A number of opportunities have arisen beyond purely commercial transactions to promote Canadian companies, including potential opportunities with United Nations agencies, the World Health Organization and Pan-American Health Organization and other multilateral, regional and plurilateral procurement initiatives (e.g. Africa Union platform, World Bank Group). The TCS will work to increase awareness of the international opportunities with companies who have interest and capacity for internationalization.

Global supply chains

Canada depends heavily on imports of medical products and pharmaceutical inputs. Given our highly integrated supply chains, the current pandemic could impact Canadian production capacity. Elements most critical to Canada’s supply chains include facemasks, protective suits, hand sanitizer, ventilators, and some pharmaceutical inputs. The current crisis has had impacts on Canada’s ability to secure equipment and pharmaceutical inputs.

Canada is bolstering its manufacturing capacity for urgently needed medical supplies. However, Canada will continue to require inputs from international markets to build finished products and to support companies with export capabilities of medical and pharmaceutical supplies.

International assistance – Personal Protective Equipment (PPE)

• COVID-19 has created unprecedented global demand for personal protective equipment (PPE) – causing supply shortages, distribution challenges, and intense competition for limited inventory.
• Canada’s top priority is to secure adequate PPE for our domestic needs, but we also recognize the imperative to support vulnerable partner countries to source and secure PPE, in a manner that does not compromise our domestic interests.
• Strengthening global PPE supply chains is a priority for the multinational Ministerial Coordination Group on COVID-19, led by Minister Champagne. We are working closely with international partners to improve access to PPE for all.

Supplementary messages

• Only by protecting each other can we protect ourselves. As such, GAC is providing one million N95 masks to partner nations in the ASEAN region and to the Africa Centres for Disease Control (which will in turn distribute masks to African countries with the greatest need).
• In considering PPE requests from international partners, ¶¶ÒùÊÓƵ is coordinating closely with the Public Health Agency of Canada to ensure a whole-of-government approach.
• Canada welcomes the establishment of the UN Supply Chain Task Force, co-chaired by WHO and WFP, to look at ways to improve the availability of essential supplies like PPE for COVID-19. Eligible member states and partners can request supplies via the COVID-19 Supply Portal, available through the UN Partners’ Platform.

Supporting facts and figures

• Canada is providing PPE international assistance through both bilateral and multilateral channels. Highlights include:
  • ¶¶ÒùÊÓƵ’s Weapons Threat Reduction Program (WTRP) has committed $4.5 million for the acquisition and delivery of 600,000 N95 masks to ASEAN partners (Brunei, Laos, Malaysia, Myanmar, Philippines and Vietnam) and 90,000 surgical masks for the ASEAN Secretariat.
  • GAC’s WTRP is likewise providing 400,000 N95 masks ($3M) to the Africa Centres for Disease Control, which will distribute the masks to African member states with the greatest need.
  • GAC’s WTRP has also provided $150,000 to the Institut Pasteur du Laos to support the acquisition of PPE and other critical COVID-related supplies.
  • GAC is supporting a number of humanitarian partners providing PPE to frontline workers and vulnerable populations. To date, over $ 99 million (includes unannounced funding) in humanitarian funding has been allocated to partners providing lifesaving assistance.
  • This funding includes support to partners such as the WHO, which – in coordination with partners – has coordinated UN Solidarity Flights delivering PPE and other essential supplies to countries across Africa; and the International Federation of the Red Cross and Red Crescent Societies, which has procured over 6 million PPE items for frontline workers, amongst others initiatives.
  • Also part of this funding, GAC is providing $13.5 million in humanitarian assistance funding to the World Food Programme to provide common services to the humanitarian response, including helping to maintain supply chains for essential goods and supplies such as PPE. This enables PPE to reach both humanitarian partners delivering assistance, as well as the populations they serve.

COVID-related costs

• ¶¶ÒùÊÓƵ provides consular assistance – help, support and advice to Canadians abroad – through 260 points of service in 150 countries. It also operates an Emergency Watch and Response Centre in Ottawa where officials are available to respond to inquiries 24/7.
• To date, $8.54M has been spent for flight facilitation costs to airlines and travel companies.
• To date $13.7M has been allocated in 4,120 loans through the COVID-19 Emergency Loan program.
• To date, GAC has incurred $2.67M in indirect costs for repatriation.

Update

The flight facilitation costs include a variety of expenses ranging from underwriting seats on flights, costs of ticketing agencies and of domestic fees, or ground travel arrangements (this can include feeder flights and other modes of transportation organized to bring Canadians to departure cities for their commercial flight to Canada).

Supporting facts and figures

• $15.8M was allocated to GAC in 2019-20 and $16M in 2020-21 for flight facilitation costs.
• In 2019-20, the net cost was $7.54M. This includes repatriation cost of flights for China and Japan.
• For 2020-21, the net cost is $995,000 to date.

Indirect Costs:

• As of June 4, 2020, GAC had incurred $2.67M in indirect costs for repatriation. These indirect costs include, $1.94M in overtime for the Emergency Watch and Response Centre (EWRC) and the C-19 Loan Program, $239,000 in other costs for the EWRC (hospitality, translation, additional cleaning costs and supplies), $316,000 in Travel costs for the Standing Rapid Deployment Team (SRDT) and $170,000 in contract with Red Cross for repatriation support in Japan.

China

Foreign state-owned investors

• The Government will ensure that opportunistic foreign investors do not take advantage of the crisis.
• This is important, because many Canadian businesses have seen their valuations decline during the COVID-19 pandemic.
• Canada remains open to investment that benefits Canadians.

Supplementary messages

• We are ensuring that foreign investment does not introduce new risks to Canada's economy or national security.
• We are scrutinizing with particular attention foreign investment related to public health or the supply of critical goods and services.
• State-owned investors face enhanced scrutiny under the Investment Canada Act.

Update

On April 18, 2020, Innovation, Science and Economic Development Canada released a policy statement announcing “enhanced scrutiny” under the Investment Canada Act of foreign investment related to public health or the supply of critical goods and services, as well as “all foreign investments by state-owned investors.”

Supporting facts and figures

The 2019 annual report on the administration of the Act provides insight on the investments that have led Cabinet to order a national security review:

• Since fiscal 2013, 14 originated in China, two in Switzerland, two in Russia, and one each in Cyprus, Egypt, Singapore and the United Kingdom.
• The 22 investments involved a range of sectors including manufacturing, transportation, pharmaceuticals, and oil and gas. The majority were in information technology.

Background

Administered by Innovation, Science and Economic Development Canada, the Act provides for the assessment of whether significant foreign investments are of economic benefit to Canada. Separately, the Act also provides that any foreign investment can be subject to a national security review.

A threshold determines significant foreign investment. For 2020, the thresholds are:

• $428 million for state-owned WTO investors;
• $1.075 billion for private-sector WTO investors; and
• $1.613 billion for private investors from trade agreement partners: Australia, Chile, Colombia, European Union, Honduras, Japan, Mexico, New Zealand, Panama, Peru, Singapore South Korea, the United States and Vietnam.

The Act does not discriminate based on nationality and the majority of investments do not result in action. Canada welcomes state-owned investment that is commercially motivated and of net benefit, and that is not a national security concern.

Greater China - Donations of PPE

• The Government of Canada has been working with the Canadian Red Cross to secure essential equipment from a number of suppliers around the world.
• Our priority has been focused on getting essential medical supplies to frontline medical workers in the fastest and most efficient manner possible while ensuring high quality standards are maintained.
• The Canadian Red Cross has received donations from mainland China and Taiwan.

Supplementary messages

• In February, the Government of Canada deployed personal protective equipment through the Canadian Red Cross to support China’s response to the outbreak.
• All donations received by the Government of Canada, including to the Canadian Red Cross, are verified by the Public Health Agency of Canada that it meets Government of Canada technical specifications for COVID-19 before being distributed.

Background

In the urgency to source essential personal protective equipment (PPE) goods in short supply in Canada to combat COVID-19, the Government of Canada, working closely with the Canadian Red Cross and the Public Health Agency of Canada (PHAC), has accepted donations of PPE from the PRC, Taiwan as well as corporate offers of donations and other forms of in-kind COVID-19 support in other jurisdictions.

In May 2020, the Canadian Red Cross received donations from the PRC as well as Taiwan. The donation from the PRC included respirators, masks, gloves and gowns, and the donation from Taiwan was masks. Taiwan has delivered a second donation to the Canadian Red Cross of masks, respirators and gowns.

In February 2020, the Government of Canada deployed PPE to support the ongoing response to the novel coronavirus outbreak in China through a standing arrangement with the Canadian Red Cross Society. The equipment consisted of protective clothing, face shields, respirators (masks), goggles and gloves with a combined weight of approximately 16 metric tonnes. The Canadian Red Cross confirmed that the PPE was received by the Hubei Red Cross and the supplies have been fully distributed.

Personal protective equipment and medical supplies received by the Government of Canada, whether procured or donated, is verified by PHAC that it meets the Government of Canada technical specifications for COVID-19 as available on the Public Services and Procurement Canada’s buy and sell website.

If PHAC cannot account for the quality, it will not be allocated to the provinces and territories for frontline healthcare response. Supplies that do not meet specifications are subsequently assessed for potential use in non-healthcare settings.

CanSino vaccine

• CanSino vaccine is currently one of the most advanced candidates in the world, and is the product of a long-standing partnership with the National Research Council (NRC).
• Re-enforces Canada’s international reputation as a leader in active clinical trials.
• If successful, vaccine could be a major contributor to ability to protect Canadians against COVID-19.

Supplementary messages

• China is an important partner in science, technology and innovation cooperation.
• Opportunity to strengthen collaboration with China on health.

Responsive only – status of shipment

• The shipment of CanSino trial vaccine is awaiting approval by China’s State Council, which has not yet committed to allow international trials of Chinese-made vaccines.
• Ambassador Barton and Embassy officials are engaging their Chinese counterparts to get the shipment to Canada as soon as possible.

Background

The next step for developing CanSino’s vaccine in Canada involves a shipment of trial vaccine doses and vaccine seeds to the NRC. This shipment will only be allowed to depart China once the State Council, China’s chief administrative authority, approves the export of vaccine trial candidates — something it has been reluctant to do for any of the numerous vaccines being developed in China. The delay may stem from concerns among China’s leadership that a failed or less-than-successful overseas trial of a vaccine labeled as “Chinese” could have a negative impact on China’s reputation or standing on global health issues.

When asked at a June 8 press conference if China would conduct clinical trials of vaccines outside China, Chinese Minister of Science and Technology (MOST) Wang Zhigang was non-committal, saying that “if the Chinese vaccine is ready for application after it is developed and clinically tested, we will provide it as a public product to the world.” Chinese Health Minister Ma Xiaowei was equally vague when asked if China would develop vaccines internationally, saying that “after the vaccine is developed and put into use in China, it will provide the vaccines to the world as promised.”

Canada has made several representations to Chinese leadership in support of the CanSino-NRC collaboration. Ambassador Barton has engaged counterparts at China’s Ministry of Foreign Affairs, National Health Commission, and Ministry of Science and Technology, and Ministers Hajdu and Bains signed, respectively, letters requesting support from Chinese Health Minister Ma Xiaowei and Vice Premier Hu Chunhua.

¶¶ÒùÊÓƵ continues to make all efforts to find a resolution and get the shipment to Canada as soon as possible.

United States

Canada – U.S. border issues

• A safe and secure border ensuring the efficient movement of legitimate people and goods is an important pillar of Canada-U.S. cooperation.
• ¶¶ÒùÊÓƵ continues to build on its relationship with the U.S. to find common ground and collaborative approaches to border management.
• The government will continue to monitor its implementation and consult regularly with the U.S. on future steps.

Supplementary messages

• The Orders in Council restricting entry to Canada from the U.S. is in effect until June 21, and from the rest of the world until June 30. Canada’s approach is broadly in line with likeminded governments.
• We must work to balance the public health risks of entry to Canada with the economic impact of increased border processing times and additional travel restrictions.

Update

The Canada-U.S. temporary border measures were renewed on June 5th, and continue to be in effect until June 21, 2020. The measures restricting entry to Canada from the rest of the world are in effect until June 30, 2020.

Canada is closely monitoring the implementation of the arrangement and assessing how it may be adjusted as we approach the expiry dates.

IRCC is now the only department responsible for approving family reunification.

Supporting facts and figures

• The U.S. has shown signs of wanting to open its economy at a faster pace than Canada.
• Border processing times at land ports of entry have increased threefold since the implementation of the new border measures on March 21, 2020. At present, cross border supply chains continue unimpeded; however, when traffic volumes return to regular levels, increased processing times could mean longer wait times at the land border.
• In 2019, Canada exported $473 billion in goods and services (representing 62% percent of total goods and services exports) and imported $515 billion in goods and services (71% of total goods and services imports) from the United States.
• Year on year from Q1 2019 to Q1 2020, Canadian goods and services exports and imports to/from U.S. declined 1.6% and 2.9% respectively. Merchandise exports over the same period rose by 0.7%, while imports decreased 2.6%.

U.S. economic prosperity network

• Our conversations with U.S. officials indicate that the "Economic Prosperity Network" (EPN) is a concept still in development. Its objective is to deepen economic relationships with “trusted partners’’ on the basis of “shared values’’, not limited to any particular geographic region.
• The EPN spans various existing initiatives – some where Canada is already a partner. U.S. officials have assured us that Canada will be a natural partner for the EPN once the concept is more advanced.
• Canada engages with the U.S. on the EPN and other U.S. efforts to address supply chain vulnerabilities exposed by the COVID-19 crisis.

Supplementary messages

• Canada-U.S. cooperation during the pandemic, including our shared and reciprocal measures at the border demonstrates the importance and closeness of our relationship.
• Combined with the entry into force of CUSMA, Canada and the U.S. are working to deepen our integration at a time when the security and integrity of supply chains is brought into question.
• Canada is also working with other likeminded countries to advocate for keeping global supply chains open during the COVID-19 crisis, especially for essential medical supplies, agriculture and other products.

Supporting facts and figures

• In 2019, Canada exported $473 billion in goods and services (representing 62% of total goods and services exports) and imported $515 billion in goods and services (71% of total goods and services imports) from the United States.

Background

What is the EPN? The EPN is a recently renamed U.S. State Department-led initiative encompassing various, existing U.S.-led plurilateral initiatives with the objective of deepening economic relationships on the basis of shared values (e.g. trust, transparency, reciprocity, accountability, and national sovereignty). Some of these initiatives already include Canada, such as possible forthcoming G7 deliverables on the Global Partnership for Artificial Intelligence and the Blue Dot Network on infrastructure development.

Why is it coming up now? In a Reuters report from May 4, 2020, U.S. Undersecretary of State for Economic Growth, Energy and Environment, Keith Krach, speaks about U.S. efforts to create an alliance of trusted partners under the auspices of an Economic Prosperity Network (EPN). The article includes a fragmented quote from Secretary of State Mike Pompeo, referring to work with Australia, India, Japan, New Zealand, South Korea and Vietnam to “move the global economy forward”, including with respect to supply chain security.

Where does Canada stand? Canadian officials in Washington D.C. are in regular contact with U.S. State Department, Department of Commerce, U.S. central agencies, and like-minded counterparts. They have been able to establish that the media report likely conflated the EPN with a separate (and now concluded) “Indo-Pacific Coordination Group” where the U.S. and Indo-Pacific partners cooperated on the immediate COVID-response.

Contrary to what was suggested by the media reporting at issue, the EPN will be open to all “trusted partners” and will not be limited to Indo-Pacific countries. At this time, the EPN does not appear to include formal work on supply chains. We expect the U.S. State Department to share more specifics about the EPN with potential participants in the near future.

Export Development Canada (Support and oversight)

• EDC is playing a critical role, along with other Government institutions, in Canada’s economic response to COVID-19 by providing emergency support and liquidity solutions to companies of all sizes and in all sectors of the Canadian economy.
• EDC has successfully worked with Canadian financial institutions to quickly make capital and its full range of core financial products available for Canadian businesses through:
  • The Canada Emergency Business Account
  • The Business Credit Availability Program Guarantee for Small and Mid-Market companies.
• Rigorous oversight and reporting of COVID-19 economic response programs has been implemented to ensure efficacy of programs and to safeguard against the misuse of funds.

Supplementary messages

• EDC has taken an active approach to working with current clients to ease burdens and has deployed the full range of its financial services to support Canadian businesses through its credit insurance, financing, equity investments, and bonding services products.
• We will continue to work with EDC and Canadian businesses so that EDC’s actions remain in alignment with Government priorities and support programs function as intended to positively impact Canadian businesses in need.
• The EDC Business Credit Availability Program (BCAP) Guarantee was implemented in April to help ensure financial institutions would continue to make credit available for viable, creditworthy businesses to cover operational expenses during the crisis. Under the program, EDC provides an 80% guarantee to the financial institution on new operating credit and cash flow term loans of up to $6.25 million.

Update

EDC has established a COVID-19 landing page on its website to better direct Canadian companies to available Government supports. EDC and Canadian financial institutions believe that uptake for EDC products will increase as the economic recovery proceeds.

Supporting facts and figures

• EDC is administering the Government’s Canada Emergency Business Account (CEBA) under the Canada Account.
• As of June 16, 2020, 673,000 small and medium-sized companies have been approved for CEBA support, totalling over $26.76 billion through 233 Canadian financial institutions.
• As of June 16, 2020, EDC’s Business Credit Availability Program (BCAP) Guarantee has been provided in support of 67 Canadian companies for support of $97.14 million.

India N95 export ban and pharmaceutical imports

• On January 31, the Government of India imposed an export ban on all PPE including N95 medical masks and other medical products; we are not aware of any country receiving approvals to import N95 masks from India.
• There were delays in the release of shipments of certain pharmaceutical products from India to Canada as a result of both the global export restrictions put in place by India starting on March 3, and the country-wide lockdown imposed March 23.
• Export restrictions now remain on a single pharmaceutical product, hydroxychloroquine; however, India has approved Canada’s export requests and has offered additional supplies should Canada require.

Supplementary messages

• The Government of Canada has been working with our international partners to ensure the continued flow of essential goods across our borders.
• The Government of Canada actively engaged Indian officials on the issue of restricted pharmaceutical exports and India has removed all but one of these export restrictions.
• During a recent call with his Indian counterpart, PM Trudeau raised the need to keep supply chains open for medical equipment and the need for increased international cooperation to accelerate the development of diagnostics, treatments, and potential vaccines.

Supporting facts and figures

• Canada sourced 1.4% of its total imports of N95 masks from India in 2019.
• In 2019, Canadian imports of pharmaceutical products from India amounted to $410 million, including $386 million of medicines destined for retail sale, $12.6 million of pharmaceutical goods and $6.3 million of other medicines.
• For some key pharmaceuticals, Canada imports 100% of its needs from India.

Background

On March 3, India restricted the export of 13 active pharmaceutical ingredients (APIs), and formulations made from these. On March 25, India added hydroxychloroquine (HCQ) to the list of restricted exports; a drug deemed an essential medicine by the WHO used to treat lupus and rheumatoid arthritis, among other ailments. By May 28, under mounting international pressure, India rescinded the export restrictions on all APIs, leaving HCQ as the only pharmaceutical product remaining on the prohibited list. However, India continues to release this product on a case-by-case basis and has in fact shipped this drug to 60 countries since the pandemic was announced.

Minister Ng, Minister Champagne and PM Trudeau have spoken with their Indian counterparts on the importance of India maintaining its role in the global supply chain of medical and pharmaceutical products.

International education

• ¶¶ÒùÊÓƵ remains committed to the objectives outlined in the International Education Strategy (IES) and to ensuring stability in this sector.
• GAC continues its efforts to promote Canadian education to international students, including through a transition to virtual student recruitment fairs and other on-line engagement with agents and students.

Supplementary messages

• Social media advertising campaigns are planned to start in September, to help keep Canada top of mind as an education destination, and attract students aligned with Canada’s skills and demographic needs.
• EduCanada.ca provides up-to-date information on Government of Canada support for international students in light of COVID-19.
• ¶¶ÒùÊÓƵ has made available emergency funds for students funded through GAC scholarship programs who have been unable to return to their home countries due to the pandemic.

Update

¶¶ÒùÊÓƵ has pivoted student recruitment and partnership events from in-person to virtual. Three successful online EduCanada promotion events have been delivered to date, and an online presence is planned for the October, 2020 partnership event organized by the European Association of International Educators (EAIE).

Immigration, Refugees and Citizenship Canada (IRCC) has introduced policy changes that allow international students who cannot travel to Canada the flexibility to study online up to December 31, 2020 and still be eligible for the Post-Graduate Work Permit Program (PGWPP). Until August 31, 2020, international students working in essential services are also allowed to work more than the 20 hours per week normally permitted. IRCC capacity to process student visas remains limited. Although online applications are accepted, many Visa Application Centres remain closed meaning that biometrics and medical requirements cannot be completed.

The Canada Emergency Response Benefit (CERB) is available to international students who meet the income threshold and are currently in Canada. The Canada Emergency Student Benefit (CESB) is not open to international students.

Supporting facts and figures

• In 2019, over 721,000 international students were studying in post-secondary learning institutions across Canada (a 60% increase since 2015).
• International education is one of Canada’s largest service exports, and contributed $21.6B and an estimated 170,000 jobs to Canada’s economy in 2018.
• All regions within Canada benefit from international students, with spending for each student averaging $35,100 per year for long-term full-time students.

International pledge for open supply chains

• Canada encourages the facilitation of cross-border movement of critical goods, services and personnel through open, connected supply chains.
• Work with likeminded countries is essential to maintain open and predictable global supply chains during the COVID-19 crisis, especially for distribution of essential medical supplies and agricultural products to protect global food security.
• Canada values the role of the WTO-led multilateral trading system to address challenges related to the pandemic. This includes stabilizing global trade and supply chains, and inclusive sustainable economic global recovery.

Supplementary messages

• Canada asserts that emergency restrictions to supply chains should be temporary, proportionate, targeted, transparent and compliant with WTO regulations.
• Canada leads by example by waiving tariffs and sales taxes on goods imported by public health agencies, hospitals, testing sites and first-response organizations.
• Canada has also provided flexibility to current regulatory requirements, such as waiving labelling requirements on hand sanitizers.
• Canada believes that strong, sustainable and inclusive trade policies are essential to ensure the vital flow of goods, services and people in order to restore economic stability, especially for those most vulnerable such as women and micro, small and medium sized-enterprises.

Update

Building on Canada’s support of a number of multilateral statements advocating for open supply chains, Canada will host a virtual meeting of Ottawa Group Ministers on June 15, 2020. The meeting will help to build support among like-minded countries for work directed at using the WTO to address challenges resulting from the pandemic, and to lay the groundwork for economic recovery.

Supporting facts and figures

• As of June 1, 2020, approximately 191 export restrictions have been enacted by 93 countries, in response to the pandemic. Many of these restrictions apply to medical products such as masks, pharmaceuticals, and disinfectants; however, export controls on agricultural products are also beginning to emerge.
• Canada has undertaken several domestic measures which are aimed at facilitating trade. Canada has temporarily waived tariffs and sales taxes on importation of medical goods. Canada has also provided flexibility to current regulatory requirements such as waiving labelling requirements on hand sanitizers.

World Health Organization

• Canada values the WHO’s leadership and coordination role in the   COVID-19 response.
• Canada supports an independent and comprehensive review of the WHO-coordinated international health response to COVID-19 at an appropriate time.
• Canada continues to work with other countries to ensure that the WHO is a strong, accountable, inclusive and well-governed institution.

Supplementary messages

• Canada remains strongly committed to constructive engagement in multilateral organizations, including the WHO. The rules-based international system is now, more than ever, essential to helping us accomplish together what no country or stakeholder could accomplish alone.
• Canada, alongside like-minded countries, called for Taiwan’s participation as an Observer at the World Health Assembly (WHA).

Update

U.S. funding to, and membership in, the WHO

• On April 14th, 2020, the U.S. government announced that, due to concerns over the WHO’s management of the pandemic and a perceived bias towards China, it would temporarily suspend its funding to the organization while it conducted a 60-90-day policy review.
• On May 18th, coinciding with the World Health Assembly, President Trump tweeted a letter sent to the WHO warning that the U.S. would halt all funding and consider leaving the agency, pending an assessment of its response to COVID-19 within the next 30 days.
• On May 29th, prior to the conclusion of the 30-day deadline, President Trump announced that the U.S. was terminating its relationship with the WHO and would look to divert the funding allocated to the organization elsewhere. However, as of June 5th, no formal notice regarding U.S. “terminating” its relationship with the WHO has been served.

Supporting facts and figures

• Over the last ten full fiscal years, Canada has contributed approx. CAD$713M to the WHO. In addition, during the current fiscal year, Canada has already provided CAD$15.5M to the WHO for the COVID-19 response.

Background

The 73rd session of the World Health Assembly (WHA) convened virtually on May 18th-19th, 2020. Canada’s WHA statement was delivered (by video recording) by Minister of Health Hajdu, and included Canada’s support for a “comprehensive post-crisis review.”

Canada co-sponsored the EU-led Resolution on COVID-19 at the WHA. This Resolution provides a solid, consensus-based foundation for next steps in the global COVID-19 response, including an independent and comprehensive review at an appropriate time.

Similar to previous years, Taiwan’s participation as an observer at the WHA was a contentious issue in a lead-up to the session. [REDACTED] However, an invitation was not ultimately extended to Taiwan.

Supplementary estimates (A) 2020-2021

Summary documents

Page proofs supplementary estimates A

Items for inclusion in the Proposed Schedule 1 to the Appropriation Bill

(for the financial year ending March 31, 2021)

Expenditures by Program or Purpose

Budgetary Expenditures by Standard Object

This table shows the forecast of total expenditures by Standard Object, which includes the types of goods or services to be acquired, or the transfer payments to be made and the funds to be credited to the vote.

Definitions of standard objects available at:

2020-2021 supplementary estimates (A) - Overview

• The 2020-21 Supplementary Estimates (A) were tabled in Parliament on June 2, 2020.
• In the 2020-21 Supplementary Estimates (A), ¶¶ÒùÊÓƵ sought an increase of $51.0 million to its current authorities of $7.48 billion, bringing total authorities to $7.53 billion.
• The 2020-21 Supplementary Estimates (A) are comprised of an increase of $9.9 million in voted appropriations and $41.1 million in statutory funding.
• Funding being sought includes:
  • $9.9 million to implement the Feminist International Assistance Agenda and specifically for the Counter-Terrorism Capacity Building Program; and
  • $41.1 million for payments for consular assistance pursuant to the Public Health Events of National Concern Payment Act.

Supplementary messages

• Supplementary Estimates (A), (B) and (C) are part of the normal Parliamentary approval process to ensure that previously planned government initiatives receive the necessary funding to move them forward. They present information to Parliament on the Government of Canada’s spending requirements that were not sufficiently developed in time for inclusion in the Main Estimates.

Through the Supplementary Estimates (A), ¶¶ÒùÊÓƵ sought an increase of $51.0 million to its authorities of $7.48 billion:

• $9.9 million to implement the Feminist International Assistance Agenda and specifically to fund the Counter-Terrorism Capacity Building Program – Sahel Envelope.; and
• $41.0 million for payments for consular assistance pursuant to the Public Health Events of National Concern Payment Act.
• Internal transfer of resources from Contributions and Operating funding contained within the Department’s Crisis Pool Quick Release Mechanism to Grants.  This funding will be used in support of the COVID-19 crisis.

Supporting facts and figures

2020-2021 supplementary estimates (A) - By vote

• In the 2020-21 Supplementary Estimates (A), ¶¶ÒùÊÓƵ sought a total of $51.0 million in funding including:
  • $1.2 million in Vote 1 - Operating;
  • $8.7 million in Vote 10 - Grants and Contributions; and
  • $41.1 million in Statutory funding.
• Funding being sought includes:
  • Vote 1 - Operating
    • $1.8 million to implement the Feminist International Assistance Agenda and specifically to fund the Counter-Terrorism Capacity Building Program; and
    • Decrease of $600,000 to transfer resources held within the Department’s Crisis Pool Quick Release Mechanism from Operating to Grants. This funding will be used to respond to the COVID-19 crisis.
  • Vote 10 - Grants and Contributions
    • $8.1 million to implement the Feminist International Assistance Agenda and specifically to fund the Counter-Terrorism Capacity Building Program; and
    • $600,000 transfer from Operating resources held within the Department’s Crisis Pool Quick Release Mechanism to Grants. This funding will be used to respond to the COVID-19 crisis.
  • Statutory Vote
    • $41.0 million for payments for consular assistance pursuant to the Public Health Events of National Concern Payment; and
    • $37,353 for contributions to employee benefit plans.

[Continued…]

Supplementary messages

• ¶¶ÒùÊÓƵ has six different Votes:
  • Vote 1 is to fund the operations of the department, which is comprised of salaries, the operating costs to deliver our programs (Trade, Development, and Foreign Affairs), including operating expenditures at missions abroad, and other operational expenses such as travel and professional services.
  • Vote 5 is to cover capital expenditures which are largely related to our Real Property program.
  • Vote 10 funds our grants and contributions expenditures including programming for international development and our assessed contributions.
  • Vote 15 is for expenditures relating to the costs of pension, insurance and benefits for locally engaged staff (LES).
• The following two Votes are technical in nature:
  • Vote 20 allows Global Affairs to make direct payments to International Financial Institutions, which are typically development banks.
  • The Statutory Voteincludes the following items:
    • Direct payments for International Financial Institutions
    • Contributions to employees benefit plans
    • Minister’s salary and motor car allowances
    • Payments under the Diplomatic Service (special) Superannuation Act
• Crisis Pool funding of $200 million is being accessed for International Assistance projects related to COVID-19 as announced by the Prime Minister in 2020-21.
• The $200 million allocated within ¶¶ÒùÊÓƵ’s budget at the beginning of the fiscal year includes $180 million in Grants; $19.4 million in Contributions; and, $600,000 in Operating expenditures.
• To allow for the flexibility required for Canada’s response to COVID-19, $9.4 million in Contributions and $600,000 in Operating are being converted into Grants.

Supporting facts and figures

• The following items represent the increases by Vote:
  • Vote 1 – Operating Expenditures – $1.2 million
    • $1.8 million to implement the Feminist International Assistance Agenda; and
    • Decrease of $600,000 of internal reallocation of resources from operating to grants from the International Development Assistance for multilateral Programming.
  • Vote 10 – Grants and Contributions – $8.7 million
    • $8.1 million to implement the Feminist International Assistance Agenda; and
    • $600,000 of internal reallocation of resources from operating to grants from the International Development Assistance for multilateral Programming.
  • Statutory Vote – $41.1 million
    • $41.0 million for payments for consular assistance pursuant to the Public Health Events of National Concern Payment; and
    • $37,353 for contributions to employee benefit plans.
• The Supplementary Estimates are also provided by Standard Object, which includes the types of goods or services to be acquired, or the transfer payments to be made from funding contained in these supplementary estimates.

2020-2021 supplementary estimates (A) - Statutory funding

• Through these 2020-21 Supplementary Estimates (A), ¶¶ÒùÊÓƵ will receive a total of $41.1 million in Statutory funding:
  • $41.0 million for payments for consular assistance pursuant to the Public Health Events of National Concern Payment Act, and
  • $37,353 for contributions to employee benefit plans.

Supplementary messages

• ¶¶ÒùÊÓƵ was provided additional funding of $100.0 million over two years; starting in 2019-20 to support COVID-19 response measures through the statutory appropriations authority for the Public Health Events of National Concern Payments Act.
• Of the $100.0 million, ¶¶ÒùÊÓƵ received $33.2 million in 2019-20 and is now requesting funding of $41.0 million for 2020-21 via these Supplementary Estimates (A).  The remaining balance ($25.8) will be requested via Supplementary Estimates (B), if required.
• The funding is required to effectively deliver on commitments announced by the Prime Minister to offer expanded consular and other services appropriate to the extremely complex and evolving situation of COVID-19, and to continue to adapt and innovate as circumstances evolve. This includes:
  • Expanded consular assistance and emergency response capacity;
  • Support through new partnerships for Canadians impacted abroad;
  • Travel advice and communication;
  • The provision of diplomatic assistance and financial support to enable access to commercial or other flights for stranded Canadians from high-risk areas; and
  • Recoverable financial assistance to travelers seeking to return to Canada.
  • The first three initiatives are covered under existing authorities, while the latter two last initiatives were  announced publically by the Prime Minister.
• The COVID-19 pandemic situation has evolved rapidly and is more broadly and severely impacting Canadians living and traveling abroad. The Prime Minister has stressed in this context the need for the government to protect the health and safety of all Canadians.
• Canadians abroad in quarantine or receiving treatment for COVID-19 have required consular responses tailored to their unique situation. In extreme situations, involving large numbers of Canadians, assisted departures have been necessary. Most recently, measures implemented by governments throughout the world, including Canada, to prohibit cross-border transit and to restrict movements within a country have resulted in tens of thousands of Canadians to be stranded abroad. This has created significant consular demand to support stranded Canadians. Additional such assisted departures may be necessary in the coming days/weeks.

Background

• Expenditure authority is provided in two ways: Appropriation Acts that specify the amounts and purposes for which funds can be spent; and other specific statutes that authorize payments and set out the amounts and time periods for those payments. The amounts approved in Appropriation Acts are referred to as voted amounts, and the expenditure authorities provided through other statutes are called statutory authorities.

Supporting facts and figures

Funding requests

2020-2021 supplementary estimates (A) - Funding to implement the feminist international assistance agenda

• ¶¶ÒùÊÓƵ is requesting funding of $9.9 million for 2020-21 via Supplementary Estimates (A) to support the Counter-Terrorism Capacity Building Program – Sahel Envelope.
• Budget 2018 announced renewal of the Counter-Terrorism Capacity Building program for the Sahel and Lake Chad Basin Region with the provision of $10.0 million annual and ongoing funding.

Supplementary messages

• In total, ¶¶ÒùÊÓƵ will be requesting $49.9 million over 5 years (from FY 2020-21 to 2024-25) and $9.9 million in 2025-26 and ongoing, to respond to threats from violent extremist groups activities in that area.
• Canada’s support to Counter-Terrorism Capacity Building Program reflects a whole-of-government strategic engagement to peace, security and stability in the world.
• With renewed ongoing funding, Counter-Terrorism Capacity Building Program - Sahel will be better equipped to sustain longer-term programming in the Sahel and Lake Chad Basin region as well as in Kenya and Somalia to reduce security threats from existing and emerging terrorist and violent extremist organizations.

Update

• The Counter-Terrorism Capacity Building Program - Sahel will contribute to reduce security threats from terrorism for Canadians and affected populations, particularly women and girls in Africa by preventing, detecting and responding to terrorism in Sahel and Lake Chad Basin as well as Kenya and Somalia, which in turn will contribute to improved peace and security.

Supporting facts and figures

• ¶¶ÒùÊÓƵ is requesting funding of $9.9 million for 2020-21 via the Supplementary Estimates (A) to support Counter-Terrorism Capacity Building.

Allocation by Core Responsibility:

Allocation by Standard Object:

Background

• The Counter-Terrorism Capacity Building Program was established in 2005 with on-going funding of $13.0 million annually as part of Canada’s contribution and commitment to peace, security and stability in the world. The funding provides assistance to foreign states to enable them to prevent and respond to terrorist activity.
• A dedicated Sahel/Horn of Africa-specific funding envelope under the programming authorities of the Counter Terrorism Capacity Building Program (CTCBP) was created in 2010. Originally set to expire in March 31, 2019, Budget 2018 announced on-going funding.
• Canada’s support to Counter-Terrorism Capacity Building in Africa is aligned with the Feminist International Assistance Policy which focuses on the empowerment of women and girls in particular, building the gender-sensitive capacity of security institutions in Africa.
• Through this initiative, ¶¶ÒùÊÓƵ is expecting to reduce security threats from terrorism for Canadians and affected populations, particularly women and girls in Africa.

Adjustments

2020-2021 supplementary estimates (A) - Payments for Consular assistance pursuant to the Public Health Events of National Concern Payment Act

• ¶¶ÒùÊÓƵ is requesting funding of $41.0 million for 2020-21 via Directed Supplementary Estimates (A) to support COVID-19 response measures.
• The funding is to support payments for consular assistance pursuant to the Public Health Events of National Concern Payment Act.

Supplementary messages

• ¶¶ÒùÊÓƵ was provided additional funding of $100.0 million over two years; starting in 2019-20 to support COVID-19 response measures through the statutory appropriations authority for the Public Health Events of National Concern Payments Act.
• ¶¶ÒùÊÓƵ has already received $33.2 million for 2019-20 and is now requesting funding of $41.0 million for 2020-21 via Directed Supplementary Estimates (A). The remaining balance can be requested via Supplementary Estimates (B), if required.
• The proposal seeks funding to effectively deliver on commitments announced by the Prime Minister to offer expanded consular and other services appropriate to the extremely complex and evolving situation of COVID-19, and to continue to adapt and innovate as circumstances evolve. This includes:
  • Expanded consular assistance and emergency response capacity;
  • Support through new partnerships for Canadians impacted abroad;
  • Travel advice and communication;
  • The provision of diplomatic assistance and financial support to enable access to commercial or other flights for stranded Canadians from high-risk areas; and
  • Recoverable financial assistance to travelers seeking to return to Canada.
  • The first three initiatives are covered under existing authorities, while the latter two last initiatives were announced publically by the Prime Minister.
• ¶¶ÒùÊÓƵ was also provided access to $200M in fiscal year 2020-21 from the International Assistance Envelope Crisis Pool in support of international assistance to countries affected by COVID-19.
• The COVID-19 pandemic situation evolved rapidly and severely impacting Canadians living and traveling abroad. The Prime Minister has stressed in this context the need for the government to protect the health and safety of all Canadians.

Expected results

• The COVID-19 pandemic has severely impacted Canadians living and traveling abroad. Canadians abroad in quarantine or receiving treatment for COVID-19 have required consular responses tailored to their unique situation. In extreme situations, involving large numbers of Canadians, assisted departures have been necessary. Measures implemented by governments throughout the world, including Canada, to prohibit cross-border transit and to restrict movements within a country have resulted in tens of thousands of Canadians to be stranded abroad. This created significant consular demand to support stranded Canadians.

Background

• ¶¶ÒùÊÓƵ provides consular services to support Canadians who travel the world; who work, volunteer, or retire abroad; or who participate in international student exchanges. The department is committed to achieving excellence in service delivery to ensure that Canadians are provided with timely and appropriate consular and emergency management services.
• The COVID-19 pandemic created an unprecedented crisis, resulting in significant hardship for many Canadians living and travelling around the world.  The situation became acute, with tens of thousands of Canadians who were traveling overseas finding themselves stranded in countries or on cruise ships where the ability to depart became severely constrained, and/or where they contracted the virus and must be treated and remain locally.
• ¶¶ÒùÊÓƵ has increased its capacity to manage ongoing and typical volumes, and it did receive resources related to “Duty of Care” that reinforced training and some emergency deployment capacities. Further measures to enhance its operational capacities are being pursued to address recommendations for the Office of the Auditor General (Report 7 – Consular Services to Canadians abroad – ¶¶ÒùÊÓƵ from 2018) and the Standing Committee on Foreign Affairs and International Development Study on the on the provision of consular services (Strengthening the Canadian consular service today and for the future).  However, the current COVID-19 pandemic, combined with the tragic events involving the downing of flight PS752 in Iran, has seriously over-taxed existing capacity and an important surge is required.  Moreover, as it is unlikely this situation will diminish in the near term, a sustainable capacity must be established including enabling other high quality services to be delivered.

Supporting facts and figures

Allocation by Core Responsibility:

Allocation by Standard Object:

Financial Details – Total Approved Funding - $100M

Increase to grant ceiling

2020-2021 supplementary estimates (A) - Internal reallocation of resources from contributions and operating to grants from the International Development Assistance for multilateral Programming

• ¶¶ÒùÊÓƵ is requesting a grant authority increase of $20.0 million in 2020-21 via Supplementary Estimates (A) to support Grants for the International Development Assistance for multilateral Programming.
• The increase will be financed by a decrease in Contributions of $19.4 million and Operating of $600,000 from the Department’s Crisis Pool funding allocation.
• Funding will be used for COVID-19 related projects.

Supplementary messages

• Crisis Pool funding of $200 million is being accessed for International Assistance projects related to COVID-19 as announced by the Prime Minister in 2020-21.
• The $200 million allocated within ¶¶ÒùÊÓƵ’s budget at the beginning of the fiscal year includes $180 million in Grants; $19.4 million in Contributions; and, $600,000 in Operating expenditures.
• To allow for the flexibility required for Canada’s response to COVID-19, $9.4 million in Contributions and $600,000 in Operating are being converted into Grants.
• As this is a directed Supplementary Estimates A, reprofiling requests from previous year are excluded. An amount of $179 million in Grants and Contributions for the Crisis Pool Quick Release Mechanism will be reprofiled from 2019-20 to 2020-21 and received via the Supplementary Estimates B exercise.

Update

• The Crisis Pool funding will address immediate needs stemming from the COVID-19 pandemic, with a focus on health, food security, education and gender equality.

Supporting facts and figures

• $200 million was allocated to the Crisis Pool in ¶¶ÒùÊÓƵ’s reference levels in 2020-21.
• Of this total amount, $19.4 million in Contributions and $600,000 in Operating are converted into Grants.

Allocation by Core Responsibility:

Allocation by Standard Object:

Background

• Since 2017, all Crisis Pool funds, to a maximum of $400.0 million annually, are held in the Quick Release Mechanism, a mechanism used to provide rapid access to additional funds to respond to international crises, in ¶¶ÒùÊÓƵ's reference levels.
• The Crisis Pool is used to provide humanitarian assistance in response to major international crises such as natural disasters, food crises, conflict, political upheaval, sudden intensification of lower-level crises or other unforeseen events.
• ¶¶ÒùÊÓƵ uses the annual appeals from UN agencies, the Red Cross Movement, and Canadian and international non-governmental organizations as the basis for making funding recommendations in response to complex emergencies around the globe.

Public accounts 2018-2019

Public Accounts 2018-2019 - Overview

• The Public Accounts of Canada is a report prepared annually by the Receiver General of Canada.
• The Public Accounts contain all government expenditures and revenues, accounts receivables, loans, assets and related reserves that are deemed necessary to present a fair picture of the Government of Canada’s financial position. They also highlight, among other things, any losses of public money and property and explain the nature of lapses at year-end.
• The financial information of each individual department and agency are rolled up into the Public Accounts of Canada.

Supplementary messages

• Each year, the President of the Treasury Board tables a detailed report of the financial transactions of all government departments and agencies, entitled the Public Accounts of Canada.
• The report must be tabled on or before December 31 following the end of the fiscal year to which the accounts apply; or, if the House is not sitting, on any of the first 15 subsequent sitting days.  As a matter of tradition only, the Public Accounts are addressed to the Governor General.
• The fundamental purpose of the Public Accounts of Canada is to provide information to Parliament, and thus to the public, which will enable them to understand and evaluate the financial position and transactions of the government.
• Two constitutional principles underlie the public accounting system: that duties and revenues accruing to the Government of Canada form one Consolidated Revenue Fund, and that the balance of the Fund after certain prior charges is appropriated by the Parliament of Canada for the public service.

Public Accounts 2018-19 - Losses

• The Public Accounts of Canada reports losses of public money or property due to offenses, illegal acts, accidents or accidental destruction. Total losses of public money and property reported in the Public Accounts for ¶¶ÒùÊÓƵ (GAC) in 2018-19 were $1,227,413.    
• Significant and noteworthy losses for GAC in 2018-19 include fraudulent use of contribution funds ($1,090,511) and accidental losses of blackberries, laptops, cellphones, SecurID tokens and tablets at headquarters and missions (replacement value estimated at $73,236). GAC also reported two fraudulent overtime claims ($26,160), two losses of Petty Cash funds ($522), an unauthorized use of the travel card ($12,883) and a loss of mission funds ($19,807). Total losses (6) of consular revenue ($1,478) and theft of cellular phones (2) were also reported ($1,740).
• ¶¶ÒùÊÓƵ has taken several actions in response to these losses and has recovered funds to minimize the financial impact. The Department has strengthened internal controls around the use of mobile devices and promoted awareness around fraud and the safeguarding of its assets.

Supporting facts and figures

Significant losses reported in the 2018-19 Public Accounts include:

• $1,090,511 in fraudulent use of contributions funds in Somalia, Nigeria, South Sudan, Kenya and Canada.

GAC response when dealing with these situations:

• GAC receives information on the questionable or potentially fraudulent use of contribution funds through monitoring, audits, whistleblowers or directly from partner organizations.
• Further payments to organizations are suspended until the activities are investigated. Complex cases or cases of significant value are referred to the RCMP for investigation.
• The recipients are informed of the conclusions of the investigations whereupon the department demands funds used inappropriately be reimbursed.
• GAC requires that areas of concern be addressed and corrective actions be implemented before further contributions can be considered.
• GAC requires monitoring of the implementation of the remedial mitigation strategies.

Recent enhanced measures undertaken by GAC

• A new separate Fraud Management of Grants and Contributions Unit is in the process of being established, to provide fraud management advisory services as well as implement, maintain and operate risk reporting channels and fraud issue tracking.
• A Grants and Contributions Fraud Review Committee is being established, to provide governance and oversee fraud risk management implementation and activities.

Additional information

• Somalia – Oxfam Canada: $592,117 (funds recovered)
  • Fraud was discovered by Oxfam Somalia on one of GAC’s grant arrangements. The fraud was committed by three local implementing partners and involved a series of schemes. These included overlapping costs, fabricated documents, forged signatures as well as expenditures with no supporting documentation.
  • Oxfam Canada hired two audit firms (KPMG and Ernst & Young) to perform internal and forensic audits. These findings were shared with GAC’s CFO.
• Nigeria – Oxfam Québec: $161,013 (funds recovered)
  • Fraud conducted by most senior staff for Oxfam in Nigeria’s Bauchi office (project director and senior accountant) as well as 27 of the 29 Oxfam employees at the Bauchi office.
  • Employees had participated in fraudulent use of per diems, falsified project payments, misuse of cash payments, inappropriate use of motorcycles, fraudulent procurement-related transactions, project funds deliberately withheld from partners to retain more funds at the office and training claimed but not actually occurred.
• South Sudan – Oxfam Canada: $153,930 (funds recovered)
  • Country Office Director had delegated authority for the approval of project expenses and procurement at Oxfam Canada in South Sudan and established and owned companies to which he approved various fraudulent and questionable transactions and procurement methods that lacked transparency.
• Kenya – Grand Challenges Canada: $138,284 (funds expected to be recovered in 2019-2020)
  • Failure by a Grand Challenges Canada’s partner to reimburse a loan due to fund mismanagement and misuse.
• Canada – COADY : $29,880 (funds recovered)
  • The most senior accountant at COADY St. Francis Xavier University created a scheme to personally cash cheques named to a legitimate organization. This employee created false invoices, caught these cheques in the process and deposited them into his own bank account. The former accountant was investigated by the RCMP and covered in the news media.
• Kenya – MEDA: $15,287 (funds recovered)
  • Four members of MEDA office in Kenya have claimed fraudulent per diems. Fraud incidents include usage of ¶¶ÒùÊÓƵ vehicles by Field Manager for personal reasons and suspect procurement process, including no financial or procurement policies in place during the first 1.5 years of the implementation of the project.

Other Losses

• $74,976 for losses of blackberries, laptops, cellphones, SecurID tokens and tablets at headquarters and missions:
  • Seventy-eight blackberries, fourteen tablets, ten cellular phones, one hundred and three SecurID tokens, ten portable data storage and eight laptops have been reported as lost or stolen at headquarters and missions abroad. With the exception of the two cellular phones that were deemed to be stolen ($1,740), it was determined that no further action was required as the assets were generally considered accidentally lost.
  • New procedures and controls have been developed and were made available with the release of Android and iOS. These procedures include the remote locking down of lost/stolen devices and greater communication to promote awareness.
• $26,160 in fraudulent overtime claims ($17,479 in Nairobi and $8,681 in Seattle):
  • The employee in Nairobi claimed and was paid for disallowed overtime over a one-year period.
  • The employee in Seattle claimed vacation time not yet earned and also owes a prior balance for inappropriate time entry.
  • Both employees were terminated and an account receivable has been created.
• $12,883 for an unauthorized use of travel card at Headquarters:
  • The employee never paid their travel card account and no longer works at ¶¶ÒùÊÓƵ.
  • Due to the fact that the employee declared bankruptcy in January 2019, ¶¶ÒùÊÓƵ cannot make any efforts to recover the amount directly, unless a bankruptcy settlement amount is granted.
• $1,478 for losses of consular revenue in Dar es Salaam, Dubai, Tunis, Yaoundé and Cairo:
  • While the department supports and promotes the use of electronic payments, in certain geographic locations, cash is still the major method of payment. Cash transactions inherently have high risk of errors in handling and recording.
  • Our department continues to promote alternative methods of payments to minimize cash transactions. Department uses communication and training to strengthen internal controls in the cash management area.

Public Accounts 2018-19 – Travel and Conferences

• Travel information is disclosed as part of the Public Accounts of Canada, including Travel of Ministers’ Offices (Volume III-Section 10).
• These expenditures are incurred by ministers, Parliamentary Secretaries, and Ministers’ staff in the course of their duties on behalf of ¶¶ÒùÊÓƵ.
• Expenditures, including travel, for Canadian representation at International Conferences and Meetings are also reported in Volume III-Section 11 of the Public accounts of Canada.

Supplementary messages

• Expenditures for Canadian Representation at International Conferences and Meetings are also included in the Public Accounts (Vol III - Section 11).  This includes expenditures such as travel, hospitality and conference fees that are covered under the department’s International Conference Allotment (ICA) that is approved by Cabinet to fund the protocol activities of the Governor General and the Prime Minister of Canada during official visits abroad. The allotment also supports the participation of GAC portfolio ministers and their official delegations in major multilateral international conferences defined as a congress, convention, briefing seminar or other formal gathering in one location outside Canada, that deals with topics related to government of Canada objectives and priorities.
• This statement also contains travel costs incurred during each visit or conference that appear separately on the “Travel Expenditures for Canadian Representation at International Conferences and Meetings” statement which lists the travelling delegates.

Supporting facts and figures

• The most significant costs reported for Canadian representation at international conferences and meetings are those related to the following conferences:
  • Prime Minister's Visit to Vimy, Paris (France), Singapore (Singapore) - East Asia Summit, and Port Moresby (Papua New Guinea) - APEC ($1,126,507)
  • Governor General's Visit to Africa ($870,714)
  • Prime Minister's Visit to Lima (Peru) - Summit of the Americas, Paris (France), London (United Kingdom) - Commonwealth Heads of Government Meeting (CHOGM) ($709,162)
• The most significant travel costs reported for Canadian representation at international conferences and meetings include those related to the following conferences:
  • Prime Minister's Visit to Vimy, Paris (France), Singapore (Singapore) - East Asia Summit, and Port Moresby (Papua New Guinea) – APEC ($464,121)
  • Prime Minister's Visit to Lima (Peru) - Summit of the Americas, Paris (France), London (United Kingdom) - Commonwealth Heads of Government Meeting (CHOGM) ($249,688)
  • Prime Minister's Visit to New Delhi, Agra, Ahmedabad, Mumbai, Amritsar (India) ($180,185)

Public Accounts 2018-19 – Lapses

• In the 2018-19 Public Accounts of Canada, ¶¶ÒùÊÓƵ’s Operating budget (Vote 1) was $1,899.5 million in 2018-19. The Public Accounts show an unspent amount of $78.5 million (4.1%). A total of $66.7 million was eligible to be carried forward to 2019-20.
• ¶¶ÒùÊÓƵ’s Capital budget (Vote 5) was $171.6 million in 2018-19.  The Public Accounts show an unspent amount of $39.4 million (23.0%). A total of $25.3 million was eligible to be carried forward to 2019-20.
• ¶¶ÒùÊÓƵ’s Grants and Contributions budget (Vote 10) was $4,864.1 million in 2018-19. The Public Accounts show an unspent amount of $283.0 million (5.8%). Grants and Contributions surplus is not eligible to carry forward.

Supplementary messages

• The Department’s three primary votes are highlighted in the Public Accounts are as follows:
  • Vote 1 is to fund the operations of the Department, which is comprised of salaries, the operating costs to deliver our programs (Trade, Development, and Foreign Affairs), including operating expenditures at missions abroad, and other operational expenses such as travel and professional services.
  • Vote 5 is to cover capital expenditures, which are largely related to the Real Property program.
  • Vote 10 is for grants and contributions expenditures including programming for international development and assessed contributions.
• Departments are able to use portions of their operating and capital lapses in future fiscal years through the Operating and Capital Budget Carry Forward process.
• Grants and Contributions surpluses are not eligible to be carry forward to future fiscal years.

Supporting facts and figures

Operating - Vote 1:

• ¶¶ÒùÊÓƵ’s Operating budget (Vote 1) was $1,899.5 million in 2018-19. The Public Accounts show an unspent amount of $78.5 million (4.1%).  A total of $66.7 million was eligible to be carried forward to 2019-20. The surplus ($78.5 million) can be broken down as follows:

Frozen allotment ($27.1 million)

• Conversion Factor between Operating and Salary Funds ($11.4 million);
• Canada's G7 Presidency in 2018 (SPA) ($9.3 million); and
• Other ($6.4 million).

Special purpose allotments ($30.7 million)

• Canada-US Softwood Lumber Agreement litigation ($16.8 million);
• Duty of Care at missions abroad ($9.7 million); and
• Other ($4.2 million).

Programming and others ($20.7 million)

• Middle East Strategy ($6.2 million);
• Peace and Stabilization Operations ($3.2 million); and
• Program lapses such as staffing delay and delays in projects approvals. ($11.3 million).

Capital - Vote 5:

• ¶¶ÒùÊÓƵ’s Capital budget (Vote 5) was $171.6 million in 2018-19.  The Public Accounts show an unspent amount of $39.4 million (23.0%).  A total of $25.3 million was eligible to be carried forward to 2019-20. The surplus ($39.4 million) can be broken down as follows:

Frozen allotment ($14.0 million)

• Duty of Care at missions ($13.1 million); and
• Other ($1.0 million).

Special purpose allotments ($7.4 million)

• Duty of Care at missions abroad ($7.4 million).

Capital Projects ($17.9 million)

• Delays in the development of major capital projects ($14.9 million); and
• Other ($3.0 million).

Grants and Contributions - Vote 10:

• ¶¶ÒùÊÓƵ’s Grants and Contributions budget (Vote 10) was $4,864.1 million in 2018-19. The Public Accounts show an unspent amount of $283.0 million (5.8%) and can be broken down as follows:

Frozen allotments ($237.0 million)

• Crisis Pool Quick Release Mechanism ($175.0 million);
• Counter-Terrorism Capacity Building Program for supporting the Middle East Strategy ($21.7 million);
• International Loan Refinancing Facility ($20.0 million);
• International Financial Institutions ($19.2 million); and
• Implementing 2030 Sustainable Development Agenda ($1.1 million).

Assessed contributions ($41.0 million)

• United Nations peacekeeping operations ($31.5 million); and
• Other Assessed Contributions ($9.5 million).

Programming ($5.0 million)

• Enhanced Export Diversification Support ($5.0 million).

Spending and assets

Quasi-Statutory Framework

• By agreement with the Treasury Board Secretariat (TBS), the Quasi-Statutory Framework sets out the principles and methodology used by ¶¶ÒùÊÓƵ to make annual adjustments in the following six areas:
  • Adjustment for Currency Fluctuations
  • Assessed Contributions
  • Foreign Inflation on Overseas Operations
  • Foreign Service Directives & Allowances
  • Locally-Engaged Staff Salary Revision
  • Locally-Engaged Staff Pension Benefits
• The adjustments are made using the Annual Reference Level Update (ARLU) and the Supplementary Estimates.

Background

Adjustments for Currency Fluctuations:

• The purpose of this adjustment is to ensure that ¶¶ÒùÊÓƵ maintains its purchasing power on items that are impacted by currency fluctuations including:
  • Locally engaged staff (LES) salaries, and
  • Operating expenditures at mission abroad, including those managed at headquarters (telecommunications).
• Currency gains are returned to the Consolidated Revenue Fund, and reimbursement for currency losses is sought through the Supplementary Estimates (B) and the Annual Reference Level Update (ARLU).
• The Department is compensated in-year for currency fluctuations.
• Capital expenditures at missions are NOT adjusted for currency fluctuations. This means that ¶¶ÒùÊÓƵ’s capital purchasing power may erode over time and planning can prove difficult when currencies fluctuate dramatically within a fiscal year.

Assessed Contributions:

• Assessed contributions are the price of Canada’s membership in international organizations and are usually paid in US dollars or Euros. As they are typically paid in foreign currencies, ¶¶ÒùÊÓƵ is vulnerable to currency fluctuations. Changes in rates of assessment and organization budgets are also included in calculating the amount of the adjustment.
• There are three categories of assessed contributions:
  • Official Development Assistance (ODA);
  • Non-ODA; and
  • UN Peacekeeping.
• The ODA adjustments fall within the purview of the International Assistance Envelope (IAE) and, as such, adjustments are made via transfers between development funds and foreign affairs and trade funds through the ARLU.

Foreign Inflation on Overseas Operations:

• The main purpose of this adjustment is to ensure that foreign inflation does not erode ¶¶ÒùÊÓƵ’s purchasing power.
• Like domestic departments, ¶¶ÒùÊÓƵ is expected to absorb the Canadian rate of inflation.
• To determine the net effect of foreign inflation on common services abroad, ¶¶ÒùÊÓƵ uses mission specific inflation indices provided by Statistics Canada. These indices are applied to actual expenditures categories of goods and services consumed abroad for the previous fiscal year, as a projection for the amounts required for the next fiscal.
• The department is compensated with a one-year lag for inflation.
• Capital expenditures at missions are NOT compensated for foreign inflation. This means that ¶¶ÒùÊÓƵ’s capital purchasing power may erode over time.

Foreign Service Allowances:

• The FSDs are negotiated via the National Joint Council of the Public Service of Canada (NJC). Foreign Service Allowances (FSAs) are a subset of the FSDs and are paid from the Department’s salary budget to its Canada-based employees (and to most OGD’s – except DND).
• ¶¶ÒùÊÓƵ updates reference levels through the ARLU based on the forecast for the current year, as well as the difference between the previous forecast and actual expenditures for each of the following allowances:
  • FSD 50: Foreign Service Vacation Travel Assistance
  • FSD 34: Education Allowances
  • FSD 46: Post Leave Option
  • FSD 55: Post Living Allowance
  • FSD 56: Foreign Service Premium and Post Specific Allowances
  • FSD 58: Post Differential Allowance
• There is no adjustment for all other FSAs – however, these allowances represent less than 10% of the total FSA expenditures and have been steady over the last number of years (approximately $10 million per year).
• The exception is FSD 64:  emergency evacuation allowance.  The Department can seek additional funds through the supplementary estimates if the cost of emergency evacuations is significant.
• Subject to TBS concurrence, the current year inflation on FSDs adjustments may be included in the Supplementary Estimates of the same fiscal year. The supplementary estimates would be the net increase between the current year forecast (Actual expenditures + Forecast expenditures to year end) and the amount requested in the previous year ARLU for the quasi-statutory compensated allowances.

Locally Engaged Staff Salary Revision:

• The Department is not reimbursed for LES salary and benefits increases as part of the standard collective bargaining exercise. This is because unlike other federal Departments, the salaries and benefits of LES are not subject to neither the employment laws of Canada nor collective bargaining. Adjustments are included for all LES that provide services to ¶¶ÒùÊÓƵ, Department of Immigration, Refugees and Citizenship Canada, Department of National Defence (DND), Royal Canadian Mounted Police (RCMP) and several other OGDs.
• The objective is for ¶¶ÒùÊÓƵ not to lead nor lag the local market in terms of salary and benefits.  For each LES position level, a comparison is made to the wages and hours of work of several other organizations.
• The Department is compensated with a one-year lag for LES Salary Revisions.

Locally Engaged Staff Salary Pension Benefits:

• The Government of Canada employs over 5,000 Locally Engaged Staff (LES) in diplomatic missions abroad.  Each mission has a unique compensation package for LES, which may include enrolment in local social security, as well as pension and insurance coverage. Treasury Board (TB) principles mandate the determination of LES Pension, Insurance and Social Security benefits as follows:
  • Pension and insurance plans for LES will be established when such coverage is required by local law, will be comparable to other employers within each country and the Government of Canada will participate in local social security systems unless there is a good reason not to.
• ¶¶ÒùÊÓƵ was sub-delegated the authority to manage the LES Pension, Insurance and Social Security Program (Program).  To facilitate this, a new departmental Vote 15 was created in consultation with Finance and the Treasury Board Secretariat (TBS), which is quasi-statutory in nature, to mitigate the impacts of the changing international environment in which the Department operates.
• A comprehensive global review of the Program has been undertaken. In the interim, ¶¶ÒùÊÓƵ will be reporting regularly to TBS on its review progress.
• Funding requirements for 2020-21 have been requested through the 2020-21 ARLU (Quasi-Stats process) to allow ¶¶ÒùÊÓƵ to meet the expenditure requirements of the current Program on behalf of Treasury Board as the Employer and the Government of Canada as the sponsor of the plans.

Funding by core responsibility

Briefing Note On Departmental Results Report 2018-19

• In 2018-2019, ¶¶ÒùÊÓƵ advanced Canada’s foreign policy, trade and development interests internationally in an increasingly dynamic and unpredictable global environment. The department worked to strengthen its relationships with key allies, such as the US, and engaged constructively with emerging global players.
• ¶¶ÒùÊÓƵ was key to Canada’s successful hosting of the G7 Summit in Charlevoix, Quebec, including by bringing together countries to advance pressing global issues, such as the fight against climate change and ocean protection, throughout Canada’s G7 Presidency. The department also worked diligently to facilitate the successful conclusion of Canada-United States-Mexico Agreement (CUSMA) negotiations and to end the U.S. tariffs on Canadian steel and aluminum imports.
• The Feminist International Assistance Policy continued to make its mark through support to initiatives with the greatest potential to reduce poverty and close gender gaps. This includes through increasing access to sexual and reproductive health services in Africa and Latin America, and support for training of both men and boys and women and girls to prevent sexual and gender-based violence in Kenya, Somalia and South Sudan.
• Canada continued to provide timely and effective humanitarian assistance support through entities like the World Food Programme so they could provide food and cash-based transfers to 86.7 million people, and nutritious meals to 16.4 million schoolchildren. In Jordan, Iraq, Lebanon and Syria, Canada worked with trusted partners to deliver life-saving assistance, such as food, shelter, water, health, sanitation, education and protection services, including specialized care for survivors of sexual and gender-based violence.
• The Standing Rapid Deployment Team provided critical support to affected Canadians in response to emergencies, including two separate civil unrest situations in Haiti, Hurricane Isaac in the Caribbean, and a plane crash in Addis Ababa that killed 18 Canadians. Throughout 2018-19, ¶¶ÒùÊÓƵ provided timely and effective consular services on more than 202,400 cases, including over 6,675 cases concerning Canadians who required urgent assistance while traveling or residing abroad.

Supplementary messages

• ¶¶ÒùÊÓƵ’s results highlights include:
  • Facilitating the successful conclusion of Canada-United States-Mexico Agreement (CUSMA) negotiations and the eventual removal of U.S. tariffs on Canadian steel and aluminum imports.
  • Successfully hosting the G7 Summit in Charlevoix, Quebec and throughout its G7 Presidency, bringing countries together to advance pressing global issues, such as the fight against climate change and ocean protection.
  • Co-hosting with the EU the first formal Women Foreign Ministers’ meeting in September 2018, underscoring the benefits of a gender perspective in peace-building, security and the promotion of democracy.
  • Ratifying the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
  • Providing Trade Commissioner Services to 15,956 active Canadian business clients, with a satisfaction rate of 91.7%.
  • Through humanitarian assistance funding to the UN Population Fund, Canada provided access to sexual and reproductive health services, including modern methods of contraception, to 101,036 people in Syria, 336,770 people in Iraq, 66,434 in Jordan and 9,237 in Lebanon.
  • Providing $892.6 million in humanitarian assistance support, for entities like the World Food Programme to provide food and cash-based transfers to 86.7 million people and nutritious meals to 16.4 million schoolchildren.
  • Investing $4.4 billion in international assistance, which saved lives, reduced poverty, promoted sustainable economic growth, and improved global security and stability.
  • Disbursing $162 million via the Peace and Stabilization Operations Program, to promote peace and stability in fragile and conflict-affected states.
  • Providing critical support to Canadians in distress during civil unrest in Haiti, Hurricane Isaac in the Caribbean, and a plane crash in Addis Ababa, Ethiopia via its Standing Rapid Deployment Team.
  • Providing routine consular services to Canadians with a 94% of Canadians satisfaction rate.
  • Initiated a Comprehensive Framework Review for locally engaged staff to update and improve how this critical workforce is managed.
  • Improving the environmental sustainability of Canada’s properties abroad through solar energy, LED lighting conversions and water conservation projects.

Background

• The Departmental Results Report describes the department’s achievements for the fiscal year against the priorities and expected results established in the corresponding Departmental Plan. It highlights a number of significant accomplishments achieved by the department over fiscal year 2018-19.
• The format of the 2018-2019 Departmental Results Report has changed from that of last year. This is the first year the department will report results against the Departmental Results Framework, which was established on November 1, 2017. Results in the Report are presented by core responsibility and according to Treasury Board Secretariat requirements. More in-depth results are can be found in the supplementary information tables on-line and also on the Government of Canada InfoBase website at the time of tabling.
• The Departmental Results Report was tabled in February 2020.

Explanation of variances

• ¶¶ÒùÊÓƵ’s total actual spending in 2018-2019 of $7,056 million was within its total authorities of $7,480 million. The department’s total expenses increased by $482.6 million during 2018-2019 as compared to 2017-2018. This increase in actual spending is attributable to additional funding for:
  • Supplementary International Assistance Envelope funds supporting the Feminist International Assistance Policy and its six Action Areas: Gender Equality and the Empowerment of Women and Girls, Human Dignity, Growth that Works for Everyone, Environment and Climate Action, Inclusive Governance, and Peace and Security;
  • Support for the 2015–2020 Strategy for Maternal, Newborn and Child Health to address global inequities in access to vaccines in the poorest developing countries;
  • Initiatives to help developing countries address the impact of climate change;
  • Canada’s annual commitment under the Food Assistance Convention;
  • Retroactive collective bargaining obligations and other compensation adjustments;
  • Hosting the 2018 G7 Summit, ministerial meetings and other events associated with Canada’s G7 presidency;
  • Support for the crises in Iraq and Syria and the impacts on the region (hereafter referred to as the Middle East Strategy) received from the Department of National Defence;
  • Development Assistance and Security Sector Support to Afghanistan; and,
  • Support for Duty of Care at missions abroad.

Overview – Funding By Core Responsibility

• Consistent with the Policy on Results, departments are required to obtain deputy head and TBS approval on all amendments to their Departmental Results Framework (DRF).
• ¶¶ÒùÊÓƵ’s DRF consists of five Core Responsibilities, which are the basis from which the new funding received through the 2020-21 Supplementary Estimates (A) is reported against. The breakdown by Core Responsibilities is as follows:
  • $10.0 million - Development, Peace and Security Programming; and
  • $41.0 million - Help for Canadians Abroad;
• The Department’s total authorities requested in the 2020-21 Supplementary Estimates (A) is $51.0 million.

Background

• As of April 1, 2018, the Policy on Results requires that all departments have a new reporting framework, which includes a DRF, a Program Inventory and Performance Information Profiles.
• ¶¶ÒùÊÓƵ’s DRF came into effect starting in fiscal year 2018-19.
• The Core Responsibilities outlined in the DRF stem from ¶¶ÒùÊÓƵ’s legislative framework and describe high-level domains in which ¶¶ÒùÊÓƵ acts or has authority to operate on behalf of Canadians.
• International Advocacy and Diplomacy: ¶¶ÒùÊÓƵ promotes Canada’s interests and values through policy development, diplomacy, advocacy, and effective engagement.
• Trade and Investment: ¶¶ÒùÊÓƵ supports increased and more diverse trade and investment to raise the standard of living for all Canadians and to enable Canadian businesses to grow internationally and to create economic opportunities.
• Development, Peace and Security Programming: ¶¶ÒùÊÓƵ programming contributes to reducing poverty, increasing opportunity for people around the world, alleviating suffering in humanitarian crises, and fostering peace and security, and in so doing, advances the Sustainable Development Goals.
• Help for Canadians Abroad: ¶¶ÒùÊÓƵ provides timely and appropriate consular services for Canadians abroad, contributing to their safety and security.
• Support for Canada's Presence Abroad: ¶¶ÒùÊÓƵ manages and delivers resources, infrastructure and services enabling Canada’s presence abroad, including at embassies, high commissions, and consulates.
• Internal Services: Internal Services are those groups of related activities and resources that the federal government considers to be services in support of programs and/or required to meet corporate obligations of an organization. Internal Services refers to the activities and resources of the 10 distinct service categories that support Program delivery in the organization, regardless of the Internal Services delivery model in a department.

Supporting facts and figures

Allocation by Core Responsibility:

Development, Peace And Security Programming

• Through the Development, Peace and Security Programming Core Responsibility, ¶¶ÒùÊÓƵ programming contributes to reducing poverty, increasing opportunity for people around the world, alleviating suffering in humanitarian crises, and fostering peace and security, and in so doing, advances the Sustainable Development Goals.
• The initial 2020-21 funding for this Core Responsibility is $4.80 billion. Through Supplementary Estimates (A), ¶¶ÒùÊÓƵ will receive an additional $10.0 million, bringing the total 2020-21 funding to $4.81 billion within Development, Peace and Security Programming.

Background

• The department seeks to advance five high level results through this area of departmental spending: 1) Improved physical, social and economic well-being among the poorest and most vulnerable; 2) Enhanced empowerment and rights of women and girls; 3) Reduction of suffering and increased human dignity in communities experiencing humanitarian crises; 4) Improved peace and security in countries and regions where Canada engages; and, 5) More effective international assistance through leveraging diverse partnerships, innovation, and experimentation.
• Highlights from the 2020-21 Departmental Plan for this area include:
  • Implementing Canada’s Feminist International Assistance Policy to help improve the lives of the people and communities that need it most and to support developing country partners in their efforts to tackle serious and pressing issues like climate change, poverty, gender inequality and human rights;
  • Contributing to advancing the implementation of the 2030 Agenda and its Sustainable Development Goals at home and abroad, including by increasing Canada’s international development assistance every year toward 2030;
  • Continuing to be a leader in gender-responsive humanitarian action to alleviate suffering and increase human dignity in communities experiencing crises;
  • Implementing multiple approaches to addressing pressing security concerns, including through targeted stabilization programming in fragile and conflict-affected states and the deployment of Canadian civilian experts;
  • Contributing to Canada’s broader commitments on peace operations and to help support improved UN effectiveness; and,
  • Increasing collaboration and advancing new approaches to financing for both development and humanitarian assistance to address global development challenges in new and improved ways.
• The department will report on its results against the 2020-21 Departmental Plan via the Departmental Results Report (DRR) in the fall of 2021. Refer to the 2018-19 DRR briefing note for the most recent departmental results.

Supporting facts and figures

Support For Canada's Presence Abroad

• Through the Support for Canada's Presence Abroad Core Responsibility, ¶¶ÒùÊÓƵ manages and delivers resources, infrastructure and services enabling Canada’s presence abroad, including at embassies, high commissions, and consulates.
• The initial 2020-21 funding for this Core Responsibility is $1.09 billion. This program is not included in the current Supplementary Estimates (A).

Background

• The Department seeks to advance two high level results through this area of departmental spending: 1) Sound management and delivery of resources, infrastructure and services enables Canada’s presence abroad; and, 2) Personnel are safe, missions are more secure and government and partner assets and information are protected.
• Highlights from the 2020-21 Departmental Plan for this area include:
  • Enhancing the delivery of the newly negotiated Foreign Service Directive payments and services, leveraging enhanced business analytics systems and tools, as well as strengthening long-term planning and investment at missions abroad.
  • Modernizing the network and tools at missions, through the transformation of its technology infrastructure via digital workplace portfolio initiatives that aim to increase the capabilities of its workforce at home and abroad.
  • Increasing its engagement with the Locally Engaged Staff (LES) community and working towards becoming a more agile organization.
  • Making significant investments and taking security measures at missions abroad in security services, systems and equipment; infrastructure upgrades; emergency readiness; and training programs.
  • Providing safe and productive working environments by investing in the environmental performance of buildings, addressing seismic risks, and managing maintenance to support ongoing operations.
  • Other investments include improvements towards accessibility as well as the reduction of greenhouse gas emissions.
• The department will report on its results against the 2020-21 Departmental Plan via the Departmental Results Report (DRR) in the fall of 2021. Refer to the 2018-19 DRR briefing note for the most recent departmental results.

Supporting facts and figures

International Advocacy And Diplomacy

• Through the International Advocacy and Diplomacy Core Responsibility, ¶¶ÒùÊÓƵ promotes Canada’s interests and values through policy development, diplomacy, advocacy, and effective engagement.
• The initial 2020-21 funding for this Core Responsibility is $896.2 million. This program is not included in the current Supplementary Estimates (A).

Background

• The Department seeks to advance four high-level results through this area of departmental spending: 1) Canada builds and maintains constructive relationships that advance Canada's interests; 2) Canada's leadership on global issues contributes to a just and inclusive world; 3) Canada helps build strong international institutions and respect for international law; and, 4) Canada’s global influence is expanded and strengthened.
• Highlights from the 2020-21 Departmental Plan for this area include:
  • Strengthening collaboration and engagement with partners through targeted diplomacy and advocacy efforts, with a special focus on cultural diplomacy, to advance Canadian values and interests internationally. This includes on areas of trade, investment, innovation, security, energy and the environment;
  • Advancing comprehensive engagement and reinforcing Canada’s role in key multilateral forums;
  • Asserting Canada’s Arctic sovereignty and implementing the International Arctic Policy, in close cooperation with domestic and international partners;
  • Implementing a whole-of-government strategy for Canada’s diplomatic, development and security/stabilization engagement in Iraq, Syria, Jordan and Lebanon;
  • Working with partners to champion rights and inclusive governance, advance democracy and human rights, promote inclusion and respect for diversity, and challenge corruption and impunity;
  • Advancing international peace and security interests related to stabilization and counter-terrorism, and delivering on its commitment to make Canada a leader in international efforts to combat climate change;
  • Pursuing constructive leadership and engagement to support organizational innovation and reforms to improve accountability, transparency, effectiveness and results in international institutions; and
  • Expanding and strengthening Canada’s global influence on key issues, including building on Canada’s recent success in hosting the G7 by continuing to advance issues of importance on the global stage.
• The department will report on its results against the 2020-21 Departmental Plan via the Departmental Results Report (DRR) in the fall of 2021. Refer to the 2018-19 DRR briefing note for the most recent departmental results.

Supporting facts and figures

Trade And Investment

• Through the Trade and Investment Core Responsibility, ¶¶ÒùÊÓƵ aims to increase and diversify trade and investment to raise the standard of living for all Canadians and to enable Canadian businesses to grow internationally and to create economic opportunities. 
• The initial 2020-21 funding for this Core Responsibility is $381.7 million. This program is not included in the current Supplementary Estimates (A)

Background

• The Department seeks to advance three high level results through this area of departmental spending: 1) Building and safeguarding an open and inclusive rules-based global trading system; 2) Supporting Canadian exporters and innovators internationally; and 3) Ensuring Canada is a top destination for global investment.
• Highlights from the 2020-21 Departmental Plan for this area include:
  • Engaging with key partners in various forums (such as G7, G20, OECD, and WTO) to ensure Canada’s economic interests in relation to the global trading system are advanced;
  • Advancing implementation and promotion of modern and inclusive Trade agreements, including with the European Union and other European countries;
  • Building on Canada’s recent success in negotiations of the Canada-United-States-Mexico Agreement by fortifying relationships with these trade partners and continuing to work together to strengthen North America’s global competitiveness;
  • Expanding and diversifying trade and investments with emerging markets and new partners, with a particular focus on the Asia-pacific region;
  • Pursuing an export diversification strategy, including through an expansion of the Trade Commissioner Service (TCS) and modernization of its tools, with the goal of increasing Canada’s overseas exports by 50% in 2025;
  • Advancing inclusive approaches to trade, with a special focus on women and women-owned businesses, Indigenous peoples, small and medium-sized enterprises, newcomers and LGBTQ2I persons; and,
  • Working with Invest in Canada to increase foreign investment to Canada and assist Canadian communities to attract, retain and expand foreign investment.
• The department will report on its results against the 2020-21 Departmental Plan via the Departmental Results Report (DRR) in the fall of 2021. Refer to the 2018-19 DRR briefing note for the most recent departmental results.

Supporting facts and figures

Help For Canadians Abroad

• Through the Help for Canadians Abroad Core Responsibility, ¶¶ÒùÊÓƵ provides timely and appropriate consular services for Canadians abroad, contributing to their safety and security.
• The initial 2020-21 funding for this Core Responsibility is $52.5 million. Through Supplementary Estimates (A), ¶¶ÒùÊÓƵ will receive an additional $41.0 million, bringing the total 2020-21 funding to $93.5 million for Help for Canadians Abroad.

Background

• The Department seeks to advance two high level results through this area of departmental spending: 1) Canadians have timely access to information and services regarding safety abroad; and, 2) Canadians abroad receive timely and appropriate government services.
• Highlights from the 2020-21 Departmental Plan for this area include:
  • Ensuring that Canadians receive appropriate and timely consular and emergency management services through improvements in service delivery;
  • Enhancing its active engagement with Canadians and continuing to inform through updates of the department’s travel advice and advisories as well as timely response updates during crises and significant events, via the portal at ;
  • Continuing to deliver relevant, accessible and bilingual consular services to Canadians within an established framework and Emergency Watch and Response Centre, available 24 hours a day, seven days a week; and,
  • Contributing to the overall safety and security of Canadians abroad via its renewed consular strategy, which is data-informed and evidence-based.
• The department will report on its results against the 2020-21 Departmental Plan via the Departmental Results Report (DRR) in the fall of 2021. Refer to the 2018-19 DRR briefing note for the most recent departmental results.

Supporting facts and figures

Internal Services

• Internal Services are those groups of related activities and resources that the federal government considers to be services in support of programs and/or required to meet corporate obligations of an organization.
• The initial 2020-21 funding for this Core Responsibility is $262.1 million. This program is not included in the current Supplementary Estimates (A).

Background

• The Core Responsibilities stem from ¶¶ÒùÊÓƵ’s legislative framework and describe high-level domains in which ¶¶ÒùÊÓƵ acts or has authority to operate on behalf of Canadians.
• Internal Services refers to the activities and resources of the 10 distinct service categories that support Program delivery in the organization, regardless of the Internal Services delivery model in a department.
• The ten service categories are:
  • Management and Oversight Services;
  • Communications Services;
  • Legal Services;
  • Human Resources Management Services;
  • Financial Management Services;
  • Information Management Services;
  • Information Technology Services;
  • Real Property Services;
  • Materiel Services; and
  • Acquisition Services.

Supporting facts and figures