Harper would relax foreign-ownership rules

HALIFAX, Nova Scotia, Sept. 12 (UPI) -- Canadian Prime Minister Stephen Harper said Thursday a Conservative government would relax foreign-ownership rules, including for airlines and uranium mining.

"We will significantly increase the threshold for foreign investments, as such benefits must be of net benefit to Canada," Harper told the Halifax, Nova Scotia, Chamber of Commerce.

Only deals worth more than $1 billion would be subject to federal review, up from the current threshold of $295 million, said Harper, who is campaigning ahead of the Canadian general election Oct. 14.

A Conservative government would also ease foreign companies' ability to invest in Canadian airlines, he told the audience.

Rules currently let foreign companies own up to 25 percent of domestic carriers but would increase to 49 percent, subject to "bilateral negotiations" with other nations, the Toronto Star quoted Harper as saying.

Harper would also relax restrictions on ownership of Canadian uranium mining, he said.

"We will allow foreign ownership of uranium mining and producing, provided that such investments meet a national security test and that Canada also receives comparable benefits from investor nations," Harper said.

Foreign ownership of companies of Canada is a controversial political issue, with concerns generally focused on what some see as a disturbing degree of foreign, particularly U.S., control of the Canadian economy.