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CLARIFY:MNI 5 THINGS:BOC Offl Calls For More Trade Liberaliztn

--Clarifying Last Paragraph In Story Transmitted at 12:15 PM ET
By Courtney Tower
     OTTAWA (MNI) - Following are the key points made by Bank of Canada Deputy
Governor Lawrence Schembri in a speech regarding Canadian potential output, in
Ottawa, Ontario, Wednesday:
     -- Schembri made no direct to the current monetary policy stance. He
repeated the economy is operating close to potential and the BOC is closely
monitoring expansion in economic capacity. 
     -- Schembri called for more international and domestic trade liberalization
if Canada's output and economic productivity are to grow, along with advances in
education and immigration. Schembri said the Canadian economy's decline in
capital investment and productivity following the 2014-2015 sharp fall in
commodity prices "is now mostly behind us." He illustrated the decline by saying
the BOC has found that potential output growth in Canada from 2009 to 2021 will
average 1.8%, "much lower than the 2.7% average from 1982 to 2008." 
     -- Most helpful for lifting economic potential will be trade
liberalization, Schembri said. Canada's economic agreements with Europe and the
Pacific countries, as well as domestic inter-provincial efforts, "are  helping
to reduce barriers and create opportunities for Canadian 
companies."  "Even as uncertainty about U.S. trade policy currently weighs on
business investment and export growth," he said Canada's "firm commitment to
trade liberalization will remain important for supporting solid potential growth
in the future." 
     -- About education, Schembri said, "history needs to be repeated." Public
and private investment in education had turned Canada from an agricultural
nation to one of industry. Now "New technologies should be harnessed to provide
broad access to the types of education and 
training" needed for the future. 
     -- On immigration, which already accounts for two-thirds of growth in
Canada's workforce, Schembri underlined the challenge of raising levels accepted
while continuing to successfully match immigrants' skills to available jobs,
especially in light of "the elevated number of jobs vacancies in Canada." 
--MNI Ottawa Bureau; +1 613 869-0916; email: yali.ndiaye@marketnews.com

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