Canada's Debt

Dear LivingDead,
Thank you for your e-mail of September 18, 2009 regarding our
economy and Canada’s national debt.

With respect to your specific question, the following is a
lengthy and rather technical explanation that I hope addresses your inquiry:



As of 31 March 2009, the Government of Canada gross debt was
$810.1 billion. This amount comprises $100.1 billion in so-called accounts payable
and accrued liabilities, $195.9 billion in pension liabilities and $514 billion
in interest-bearing securities.

Accounts payable and accrued liabilities refer to amounts owed
by the Government of Canada for work performed, goods received and services
rendered. It also includes amounts owed to international organizations,
provincial/territorial/aboriginal governments, corporations and taxpayers as
well as the cost related to the management and remediation of contaminated
sites. Finally, it comprises interest due and matured debt that has not yet
been claimed by their owner.

Pension liabilities represent the Government’s obligations to
the major pension plans it sponsors. The Government of Canada sponsors pension
plans for all its employees, principally members of the Public Service, the
Canadian Forces and the Royal Canadian Mounted Police, Members of Parliament
and federally appointed judges.


Finally, interest-bearing securities include mostly bonds and
treasury bills traded daily on the stock market as well as Canada Savings
Bonds. Of $514 billion in interest-bearing securities, $72.6 billion was held
by non-residents of Canada. As such, less than 10% of the money owed by
the Government of Canada is owed to non-residents.





Thank you again for taking the time to write, and please stay in
touch. Please let me know if you require any further information.





Sincerely,




Judy Wasylycia-Leis, MP

Winnipeg North

Freeman wrote:I like how she sugar coated the $514 billion in "interest bearing securities" Call it what you want, its debt, its money owed to someone else and they expect to get it back. Who gives a sh1t how much of it is owed to residents or to non-residents? It makes a difference? NOT

Freeman wrote:The pension liability is also a number that requires a good hard look. Pension plans undergo an actuarial valuation to determine if the money currently held is enough to meet all the pensions promised. Most pension plans are having a great deal of difficulty at the moment due to the volatility in the market, and most are facing staggering "unfunded" liabilities. I wonder how the federal pension liability number was determined.

I like how she sugar coated the $514 billion in "interest bearing securities" Call it what you want, its debt, its money owed to someone else and they expect to get it back. Who gives a sh1t how much of it is owed to residents or to non-residents? It makes a difference? NOT

According to the Canadian Taxpayers Federation, the federal debt equates to just under $15,000 for every man, woman and child (hopefully you fit into one of those categories), and that only the federal portion.

Helluva a way to run a country.

Freeman wrote:So, then whats the point of whether its owed to residents or non residents?