In a speech to the University of Windsor today, SARS and BSE will hurt economic growth, but the impact should be short-lived, John Manley, Deputy Prime Minister and Minister of Finance John Manley says.

On Monday, Manley told a gathering at the University of Windsor that “It is still too early to say with certainty what the full economic impact of SARS will be, but we fully expect that it will have an effect on Canada’s second-quarter performance. His speech ostensibly focused on Canada-U.S. border security.

“The decision by the U.S. and other countries to implement a ban on Canadian beef imports will also undoubtedly have an impact on our economic growth this year, and on the lives of many Canadian ranchers and exporters,” he added.

“Both SARS and BSE are expected to have only a short-term negative effect on Canadian growth, and our overall economic outlook remains strong-but all of this is taking place, of course, against the backdrop of a slow recovery in the U.S.,” Manley said. “I am pleased to see that second-quarter expectations for the U.S. are stronger, and this will benefit both our countries.”

He concluded, “We cannot always predict the challenges that arrive on our doorstep. But we can prepare. And that means everything from the fiscal disciplines we impose on ourselves, to the studied investments we make in our social growth and economic competitiveness, to the architecture we construct to better assure our citizens’ safety and our nations’ security.”