Carney is seeking $1 trillion in investments. What will it take to land major deals at this week's summit?

Hundreds of deep-pocketed investors have descended on Toronto for the first-of-its-kind Canada Investment Summit. The summit, which began with a reception on Sunday, aims to bring together global investors with Canadian business leaders in the hopes of catalyzing $1-trillion worth of investments...
Hundreds of deep-pocketed investors have descended on Toronto for the first-of-its-kind Canada Investment Summit.
The summit, which began with a reception on Sunday, aims to bring together global investors with Canadian business leaders in the hopes of catalyzing $1-trillion worth of investments across the nation over the next five years.
As a former central banker and head of Brookfield Asset Management, Prime Minister Mark Carney is no stranger to big-name investors. But the stakes are high, as the escalating Canada-U.S. trade war has turned up the pressure to forge new relationships, and prove that Canada is a good place to invest.
In a related development, so, who is coming to the summit and what does Canada need to do to land new cash for its big projects? Here's what you need to know.
CBC News previously shared that Carney invited 100 of the world's biggest investors to the summit. The the government body has kept the final guest list close to its chest, but some big names are reportedly on it.
Larry Fink, chairman of BlackRock Inc. — a U.S.-based investment firm and the world's largest asset manager — and Dilhan Pillay, CEO of the Singapore-based investment firm Temasek, are some of them. Managers of massive sovereign wealth funds including Norway's administration pension fund and state-owned firms like the Abu Dhabi National Oil Co. will also be there.
Furthermore, "It's essentially a who's-who on the investment side," stated Jeremy Kronick, president and CEO of the C.D. Howe Institute, the economic think-tank, with plenty more banks and money managers from Canada and abroad forecasted to attend.
Carney invites prominent investors to discuss opportunities in Canada
A guest list for Sunday night's reception also named top executives from lots of Canadian companies as attendees in addition to American leaders, including Air Canada, artificial intelligence company Cohere, Enbridge and Alto — which is planning a proposed high-speed rail line that would connect Toronto and Quebec City.
Additionally, dozens of Canadian politicians, including a number of premiers, were also in attendance.
Some 167 projects, ranging from a proposed pipeline carrying oil from Alberta to B.C.'s coast to developing satellite technology for Earth observation, are among the investment opportunities on the table, based on to a 66-page prospectus obtained by CBC News.
The prospectus groups projects into eight types: 11 conventional energy projects, 31 clean energy ones, 63 in mining and metals, 16 in marine and port infrastructure, 11 others in power and utilities, 10 in digital technology, 19 in advanced manufacturing and six transportation projects.
It is worth noting that more than half of them are related to energy and mining, which Kronick says shows where the the government body's priorities lie.
Some of the most expensive and highest-profile projects on the list include that $35-billion pipeline to B.C., a roughly $79-billion expansion of the Port of Churchill in northern Manitoba and the proposed $28.5-billion Ksi Lisims liquid natural gas terminal on the B.C. coast.
The goal is to show Canada off as a "compelling investment destination," as the the government body puts it — even though that hasn't always been the case.
In the broader context, kronick says long turnaround times for big projects and uncertainty about whether they will get approved have turned some international investors off of Canadian projects in the past.
A recent report by the CPP Investment Insights Institute — the research arm of the firm which is helping lead the summit — collected responses from 65 global institutional investors about their perceptions around a number of developed countries.
Canada ranked highest in stability and regulatory predictability, and the investors remarked they saw opportunity in Canada's critical minerals, energy and other resources. But regulatory complexity and permitting timelines were big concerns, especially among those interested in mining and energy projects, as stated by to the report.
Notably, because Canada is considered a marginal economy, Kronick says more work needs to be done to make it a competitive option compared to other developed nations. And hosting a summit like this — to signal the nation is serious about building big things — is a good start.
"I think the change in tone is welcome," Kronick declared. "It's been missing in the last number of years."
He says business leaders here must show that Canada is serious about the key projects on the table, with the man-power and machinery ready to get them built quickly.
Significantly, even if deals don't materialize quickly, Kronick says any that come down the line could boost Canada's productivity and GDP in a big way.
If the authorities plays its cards right, a report from TD Bank predicts Canada could see an investment "supercycle" that lasts a decade or longer, creating jobs and boosting real output per capita by $12,000 per person.
But for some, the idea of foreign investment raises worries that companies abroad will have too much control over Canadian projects.
Meanwhile, federal NDP Leader Avi Lewis, for one, has criticized Carney's investment summit as a plan to "save this state by selling it off."
A protest counter-summit is also planned to coincide with the event. Organizers argue the authorities will "auction off" public resources in any deals it makes with outside firms.
'We have to use what leverage we have': NDP leader on U.S. trade war escalation
On a related note, and indeed, not all foreign money is created equal, says Walid Hejazi, an economics professor at the Rotman School of Management in Toronto, who focuses on foreign investment.
He says there are always perceived risks with outside investments; that those firms will want to take a heavy hand in controlling the production and strategic decisions of those investments. And public perception only worsens when the investments are in projects that are seen as strategic investments — think critical infrastructure or national security — rather than those that are "simply commercial."
Carney's pitch to unlock trillions in global investment
In a related development, from pipelines to railways and AI: Ottawa pitches 167 projects ahead of Carney's investment summit
But Hejazi says the the government body can put terms in place that maintain Canada's sovereignty in any potential deal. There's also no evidence to suggest outside companies are more likely to evade regulations, he says, and Canada has strong laws and institutions to combat that if it were to become an issue.
Plus, he says Canada doesn't have the funds to build all of these big-ticket projects on its own. And especially in the current moment — when Canada's relationship with its largest trading partner is so injured — Hejazi says the need for forging new relationships abroad is obvious.
Furthermore, "We need to broaden our global footprint," he declared.
But, "at the same time, we do want Canadians to feel that our sovereignty is not being taken by other countries."
He says if any deals are reached because of the summit, the the government body will need to be very transparent about the terms of those agreements — explaining why they are beneficial for Canada to prevent that skepticism.
Additionally, abby Hughes is a writer with CBC News based in Toronto. Originally from Orillia, Ont., she studied journalism at Toronto Metropolitan University. She covers news from the worlds of business, entertainment, health, science and education, and her favourite stories focus on the real people in those areas — the customers, fans, patients, citizens and students. You can reach her with story ideas at abby.hughes@cbc.ca.
With files from Nisha Patel, Laura MacNaughton and Kate McKenna
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