The Canadian Government and the Bank of Canada success in running the Canadian economy over the last two years Canada stands at a critical point in history given that economic supremacy is shifting from the West to East and trade and investment patterns are transforming. What’s more, this is happening at a point when key players (i.e. U.S) are facing demographic, monetary and fiscal impediments. Although the 2008 global economic meltdown forced Canada into a mild depression, it nevertheless recovered from the crisis and is currently in a better position to revive its economic affiliation with the US as well as pursue new prospects with emerging key international players (Abdool, Olender & William-Zannis 2011). The current situation The Department of Foreign Affairs and International Trade (DFAIT) has established a number of priorities for 2011-12 periods. These include: fostering economic partnership with United States; and pursuing economic opportunities in emerging economies. Other priorities pursued within the trade and investment framework are:   * Adopting the Global Commerce Strategy to augment Canada’s commercial participation in global trade, with special focus on Brazil, India and China.   * Marketing Canada’s advantage as a viable investment destination.   * Expanding global research and development joint ventures with an aim of commercializing innovation.   * Executing free trade pacts with new strategic trade partners   * Promoting foreign investments negotiations (Abdool, Olender & William-Zannis 2011). The government of Canada aims to augment bilateral trade and investment pacts with the United States as well as rising economies, especially Brazil, China and India. In addition, the government intends to reinforce multilateral pacts via Doha Round trade concessions under the WTO (Abdool, Olender & William-Zannis 2011). Canada’s Bilateral and Multilateral Pacts The most widespread bilateral pact in the world is the Canada-US trade and investment pact which boasts of an aggregate trade value estimated at CAD$500 billion in 2010. It is important to note that the Canada-US trade pact, established under the auspice of the North American Free Trade Agreement (NAFTA), remains the most significant aspect of Canada’s trade portfolio. As a matter of fact, the trade pact is the basis of Canada’s standard of living as well as wealth. For example, Canada’s exports (under the Canada-US trade pact) represented 35% of its GDP in 2010. In terms of foreign direct investments, the United States is the largest foreign investor in Canada. On the other hand, Canada is ranked the fifth biggest foreign investor in the United States. This phenomenon is evidenced by the fact that in 2010, over 52% of all foreign direct investments in Canada came from the United States (Canadian Industry Statistics 2011). In 2010, the economy took an upward turn when Canadian exports rose by 11%. In addition, the value of Canadian exports rose to $399.4 billion in 2010, up from $360 billion in 2009 (Canadian Industry Statistics 2011). Canada has also expanded its trade and investment pacts with emerging economies. For example, China was ranked as the third biggest trading partner with Canada in 2010 as exports rose to CAD$11.2 billion, representing a 6.6% increase. India was ranked as the 10 th largest trade partner with exports from Canada totalling CAD$2.1 billion while Brazil was ranked 13 th with exports from Canada equalling CAD$1.6 billion (Macklem 2011). Canada has played an integral role with respect to multilateral pacts such as General Agreement on Tariffs and Trade (GATT) and World Trade