For the quarter ended December 31, 2020

1. Introduction

This quarterly report has been prepared by management as required by section 65.1 of the Financial Administration Act and in the form and manner prescribed by the Treasury Board GC 4400 Accounting Standard. It should be read in conjunction with the Main Estimates. This report has not been subject to an external audit or review.

1.1 Authority and Mandate 

As outlined in the Invest in Canada Act, for the purpose of supporting economic prosperity and stimulating innovation in Canada, IIC’s mandate is to:

  1. promote foreign direct investment in Canada and attract and facilitate that investment; and
  2. coordinate the efforts of the government, the private sector and other stakeholders with respect to foreign direct investment in Canada.

1.2 Basis of Presentation 

This quarterly report has been prepared using an expenditure basis of accounting. The accompanying Statement of Authorities includes IiC’s spending authorities granted by Parliament and those used by the IiC, consistent with the Main Estimates, Supplementary Estimates and Treasury Board vote transfers for the 2020-21 fiscal year. This quarterly report has been prepared using a special purpose financial reporting framework designed to meet financial information needs with respect to the use of spending authorities. 

The authority of Parliament is required before money can be spent by the government. Approvals are given in the form of annually approved limits through appropriation acts, or through legislation in the form of statutory spending authority for specific purposes. 

When Parliament is dissolved for the purposes of a general election, section 30 of the Financial Administration Act authorizes the Governor General, under certain conditions, to issue a special warrant authorizing the Government to withdraw funds from the Consolidated Revenue Fund. A special warrant is deemed to be an appropriation for the fiscal year in which it is issued. 

IiC uses the full accrual method of accounting to prepare and present its annual financial statements that are part of the departmental results reporting process. However, the spending authorities voted by Parliament remain on an expenditure basis. 

2. Highlights of the Fiscal Quarter and Fiscal Year-to-Date (YTD) Results

2.1 Statement of Authorities

As reflected in the attached Statement of Authorities, IiC’s total authorities has slightly decreased to $34.2 million (5%) in 20-21, down from the previous year of $36 million.  

2.2 Statement of Department Budgetary Expenditures by Standard Object

As per the attached Budgetary Expenditures by Standard Object, total year-to-date net budgetary expenditures (April to December) represent 42% percent of total budgetary authorities available for use.   

As shown in the below statements, IiC third quarter expenditures are $3.2 million lower than the year before.  This variance is largely due to cancellations in key international in-person events and the inability to travel in 2020-21 due to COVID-19. To mitigate this variance IiC has actively re-allocated its budget to an integrated advertising campaign and expects a large portion of those expenditures to occur in Q4 of 2020-21.

3. Risks and Uncertainties

Operational risks 

There is a risk that Covid-19 will limit IiC’s ability to achieve many aspects of its mandate. To minimize this risk, IiC has continued actively engaging with investors and partners to better understand the COVID-19 impact on expansion plans and their business more broadly. IiC has also strengthened its research activities to better understand the impact of the pandemic on investments and to provide information and data to partners and clients. In-person events and international conferences have been cancelled or postponed; however, where possible, IIC remains active and engaged through online event participation. 

4. Significant Changes in Relation to Operations, Personnel and Programs

No significant changes to report.  

Approved by:

Original Signed by
Ian Mckay
Chief Executive Officer

Original Signed by
Katie Curran
Chief Administrative Officer

Ottawa, Ontario
January 29, 2021


Invest in Canada
Quarterly Financial Report
For the quarter ended December 31,2020

Statement of Authorities (unaudited)

(in thousands of dollars)  Fiscal Year 2020-21 (in thousands of dollars) Fiscal Year 2019-20 (in thousands of dollars)
Total available for use for the year ending March 31, 2021* Used during the quarter ended December 31, 2020 Year to date used at quarter-end Total available for use for the year ending March 31, 2020* Used during the quarter ended December 31, 2019 Year to date used at quarter-end
Bugetary Authorities
Vote 1 - Program Expenditures
34,292 4,551 14,384 36,057 7,708 15,209
Less: Revenues netted against expenditures            
Total Bugetary Authorities 34,292 4,551 14,384 36,057 7,708 15,209

*Includes only Authorities available for sue and granted by Parliament at quarter-end.

Invest in Canada is responsible for all employee benefit and pension contributions

Invest in Canada
Quarterly Financial Report
For the quarter ended December 31, 2020

Budgetary expenditures by Standard Object (unaudited)

(in thousands of dollars) Fiscal Year 2020-21 (in thousands of dollars) Fiscal Year 2019-20 (in thousands of dollars)
Planned expenditures for the year ending March 31, 2021 Expended during the quarter ended December 31, 2020 Year to date used at quarter-end Planned expenditures for the year ending March 31, 2020 Expended during the quarter ended December 31, 2019 Year to date used at quarter-end
Expenditures:
Personnel
8,642 1,712 5,689 7,506 1,560 4,484
Transportation and Communications 1,768 12 38 1,905 481 978
Information 10,475 1,297 2,754 7,844 805 1,813
Professional and Special Services 12,532 1,631 5,578 16,234 4,429 6,389
Rentals 160 119 184 300 18 479
Repair and Maintenance 200 0 4 120 8 11
Utilities, Material and Supplies 50 9 15 1,025 25 109
Acquisition of land, buildings and works 85 - - - 256 631
Acquisitions of Machinery and Equipment 380 26 139 1,033 124 308
Other Payments - 18 17 - 2 6
Total Gross Budgetary Expenditures 34,292 4,551 14,384 36,057 7,708 15,209
Total Net Budgetary Expenditures 34,292 4,551 14,384 36,057 7,708 15,209