Pilot study points to local benefits from foreign investment. (Off the Wire).

One in seven jobs in Regina is directly or indirectly related to foreign investment. This is one of the findings contained in a pilot study, commissioned by the Department of Foreign Affairs and International Trade, which points to foreign investment as an important source of economic growth for Canada.

Foreign investment is a vote of confidence in a city's workforce and business climate. It produces jobs that wouldn't have existed otherwise, expands business opportunities for Canadian-owned companies who provide products and services to them, and introduces new technology and manufacturing processes into common use.

This pilot study follows closely on the heels of the recently released KPMG study entitled Competitive Alternatives (www.competitivealternatives.com), which shows that Regina enjoys an average 15 per cent cost advantage over American cities.

In most communities profiled, direct and indirect employment attributed to foreign investment accounts for 10 per cent to 15 per cent of the total employed labor force. This means that one out of every six to 10 households owes their livelihood to foreign investors attracted to their communities.

The study covered 25 Canadian cities, and found that 1,720 foreign-owned companies were responsible for the creation of 400,000 jobs. A further 370,000 spinoff jobs result from the business activities of these companies, for a total employment impact of approximately 750,000 jobs. The 25 cities selected for this study have a combined population of more than 15 million, representing approximately the total Canadian population.