Newfoundland and Labrador, like the rest of the world, has felt the effects of the recent global recession. However, we have remained far better positioned to weather it than many other jurisdictions internationally and here in Canada. We had the right plan and a strong foundation already in place, which guided us through the downturn and kept our momentum going.

Now, Newfoundland and Labrador is set to resume growth in 2010, and confidence in our economy is soaring once again.

Consumer confidence in this province is the highest in the Atlantic region. Incomes are growing. Housing starts are rising. So, too, is retail trade. In fact, Newfoundland and Labrador recorded the strongest increase in retail sales among all provinces in 2009, and another five per cent growth is projected this year.

Business confidence is very strong as well. According to the Canadian Federation of Independent Business' latest Business Barometer, even though on a national scale optimism has fallen of late, the level of business confidence in Newfoundland and Labrador is the second highest in the country and well above the Canadian average. In fact, the survey showed that 98 per cent of firms in this province rate the overall state of business here as either good or satisfactory.

I talk to business people both in and outside our province who see the steps our government is taking and the positive climate for business investment and growth being created in Newfoundland and Labrador. We are doing this by investing in programs that facilitate business expansion, by investing in our education system and initiatives that support the development of the skilled labour on which businesses rely, and by improving the tax and regulatory environment, including further reductions in personal income tax and the small business tax rate in Budget 2010.

More and more businesses are recognizing that Newfoundland and Labrador is an attractive place to be. Capital investment growth is poised to lead the country this year, at a projected 23 per cent. This will be spurred by industrial activity and expansion, from Long Harbour to Labrador West; and also by our government's unprecedented levels of infrastructure investment.