Federal finance minister Jim Flaherty continued to pound the table for lower corporate taxes, freer interprovincial trade and labour mobility, and a single securities regulator, at his meeting with provincial finance ministers in Ottawa on Wednesday.

“Canada’s economic fundamentals are strong, but clearly the provinces and territories have an important role to play in securing our economic future,” said Flaherty. “If we are going to keep our economy on an upward trajectory, we need to work together to create a stronger and more efficient economy. I appreciate we will not be able to achieve our goals overnight, but I believe progress continues to be made.”

To more effectively leverage investment and growth, Flaherty encouraged the provinces and territories to further reduce business taxes. The federal government has pledged to reduce the federal business tax rate from 22% this year to 15% by 2012. “If we are going to keep pace with our global competitors, we will need the cooperation of the provinces to get our combined corporate tax rates in Canada down to the Economic Statement target of 25%,” he said. “I firmly believe that our competitive business taxes will be a powerful brand for Canada globally.”

Increased labour market mobility and the removal of internal barriers to trade and investment were also under consideration. Flaherty encouraged the provincial finance ministers to pursue initiatives similar to the agreement between British Columbia and Alberta.

He also pointed to Canada’s fragmented securities system as a “significant obstacle” to Canada meeting its full economic potential, and he strongly advocated for a common securities regulator.

Additionally, finance reports that the ongoing challenges posed by the high Canadian dollar were clearly a priority for ministers.

“This meeting also provided me with an opportunity to consult with my provincial and territorial colleagues as I set out to draft Budget 2008,” said Flaherty. “Their views and those I am hearing from stakeholders across the country will inform my decisions as I begin work on a budget that will build on our collective efforts towards a stronger and more prosperous Canada.”