Stay course on the economy: Harper

Canada should stay the course as the economy begins to get back on its feet, Prime Minister Stephen Harper said Monday in his third economic report, delivered in Saint John, N.B.

Speaking at NB Southern Railway's mechanical shop, Harper used the announcement of his economic update to say that trying to force an "unnecessary and wasteful election in the middle of a global recession is not in the country's interests."

Harper said 90 per cent of the stimulus funding has been pledged for more than 7,500 infrastructure and housing projects.

This is the third economic update since the Conservatives agreed to issue quarterly reports in exchange for Liberal support for the Jan. 27 budget.

In June, the economy grew by 0.1 per cent, its first positive reading since July 2008.

Despite the return to very modest growth, Harper characterized the recovery as "fragile."

"Far too many Canadians are still out of work. Too many families are suffering hardship," he said, adding that the recovery could be derailed by events outside the country.

The Liberals have accused the government of spending only 12 per cent of the $4 billion set aside for immediate job-creating infrastructure projects.

"Why is this information being given?" Ignatieff asked during question period in the House of Commons. "How can Canadians believe this report?"

Ignatieff claimed that provincial premiers and city mayors will back him up on his figures.

The Liberals have already said it really didn't matter what was in the economic statement, insisting they won't back the Conservatives' minority government.

The Liberals tabled a motion of no-confidence in the House of Commons on Monday, with a vote expected on Thursday.

"The accountability report being tabled today will not, in our view, bring back our confidence in this government in any way, shape or form," Liberal MP David McGuinty said on Monday, prior to the release of the economic statement.

The New Democrats indicated they intend to support the government until its improvements to employment insurance make it through the House of Commons.

"If we are able to get a billion dollars more to tens of thousands of families, that's what we came here to do, and we're going to make sure that happens," Layton said, indicating the NDP will not support the Liberal motion.

The Bloc Québécois has said it will decide on a case-by-case basis whether to vote to support the Tories.

All three opposition parties must vote together in order to defeat the government.