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Canada well-positioned to handle turmoil over NAFTA talks: finance minister

VANCOUVER -- Canada's finance minister says a strong economy is allowing officials to push for a better deal in negotiations on the North American Free Trade Agreement.

Speaking to the Business Council of British Columbia in Vancouver, Bill Morneau says talks on the deal are "critically important" but Canada will remain firm in getting the best possible agreement.

He says the government's latest budget included measures to expand trade around the world, particularly in Asia, and the financial plan is fiscally responsible, which means Canada can hold out for a better deal on NAFTA.

Morneau also spoke about the budget's forecast for continued deficits, which breaks a campaign promise the Liberals made in 2015 to return to balanced budgets by the end of the party's mandate.

The finance minister says the Liberals have chosen to make investments in the economy, including on science and research, and pensions for veterans, but those have had a positive impact.

He says that the country is in a better fiscal position than it was on election day, and the position will continue to improve.

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