(Picking up where we left off  from the G8/G20 Business Summit)

Concluding the morning session at the G8/G20 Business Summit was a panel discussion with Prime Minister Stephen Harper, hosted by President and CEO of the Canadian Chamber of Commerce Honourable Perrin Beatty, and Honourable John Manley, President and CEO, the Canadian Council of Chief Executives.

The panelists, including Harper, were candid with eachother, having all met in the House of Commons at some point. During a lighter part of the discussion, Harper even commented that he “wasn’t used to being peppered from both sides” with Manley and Beatty, quite literally, flanking his sides.

The gentlemen spoke at length about issues that would need confronting at the G8/G20 Leaders’ Summits, and expectations of the G20 to come through on agreements post-Doha.

Beatty asked the tough questions. First was his foray into the failure of international organizations to deliver on promised actions, and so he poised to Harper: “What degree of confidence do you have with the G20 on the agendas they have?”

Harpers comments were positive, and forgiving, as he explained that although the G20 is a powerful group, it is difficult to come to agreement with so many players around the table-referencing the failure of Copenhagen to bring about intended action with regards to climate change.

“So far I think the G20 has shown a capacity to arrive at decisions” Harper acknowledged. “I think the real test going forward now-particularly as we look at creating that longer-term framework for strong sustainable growth-is can we bring forward the same type of consensus and shared responsibility that existed from the economic crisis” he added.

“For the majority, everything I’m seeing so far indicates that all the players around the table want to make it work…I do see evidence that the big players are coming to understand the shared initiatives they have to pursue in order (not just only for the G20) to be successful, but for all of our interests to be protected.”

Harper reasoned that the larger the range of issues, the more difficult it is to deal with on a global front. However, he addressed Beatty’s underlying concern about the ability of the G20 to mobilize when he said his bet is that the G20 will be successful: “I’m optimistic on that.”

Harper went on to say that he say the need for governments not to quash growth, but rather to provide a systematic framework for the market to sustain itself on a global level-echoing the sentiments of the other speakers that day.

The G20: Moving the economy forward

Beatty was on the mark again with his query about the power of the G20 to being about economic change, as he asked if Harper saw the G20 as a “steering committee for the global economy.”

Harper’s response focused in on coordinated policies, and international stability. He explained that “the actions of the G20 truly diverted a world-wide depression-a pretty impressive achievement” and applauded international governments on their ability to curb the economic crisis.

Manley and Harper took the conversation further, speaking to issues about trade restrictions and the necessity for cooperation-not protectionism.

“I think it’s safe to say and fair to say that there has been no systemic widespread move towards to protectionism, and that is a significant achievement. We know from past downturns, that that has been the temptation in any number of countries. The fact that [protectionism] has not broken out as a systemic pattern, notwithstanding a number of individual cases, I think is an achievement” Harper said.

Harper and Manley both agreed that countries must keep the movement of growth forward, and that means pushing a free trade agenda forward.

Canada emerges, relatively unscathed

Harper spent much of his stage time talking about the strength of Canada’s economy, and how Canada can serve as a model for economic stability. “Look at the strengths of the Canadian economy: the biggest thing, we all know, is the financial sector. Not only do we have the strongest financial sector in the world, Canadian banks are some of the largest in the world. Canada has a strong financial position, and we entered this recession with (and by a significant margin), the lowest debt-to-GDP ratio of the G7″ he explained.

“Obviously, that will go up a little bit, because of the large scale economic stimulus programs we’ve been running-we will actually emerge from this recession in relative terms with an even wider lead in terms of the best fiscal position in the G7″ Harper continued, and went on to point out Canada’s well-balanced economy and the country’s advanced sectors.

“We’re going to be the place from which to do business in North America. We’re not trying to erect walls, not trying to trump up our strengths simply in isolation. We’re trying to contribute to the development of good global governance of good global policies” he concluded.