Minister Manley Outlines Canadian Cryptography Policy

October 1, 1998

John Manley, Minister of Industry, today announced the elements of Canada's Cryptography Policy. Cryptography is a set of technologies used to provide security for electronic transmissions and of information stored on computer systems and networks such as the Internet. This policy is an essential component of the Canadian Electronic Commerce Strategy, designed to make Canada a world leader in the use of electronic commerce by the year 2000.

The policy allows Canadians to develop, import and use whatever cryptography products they wish and does not impose mandatory key recovery requirements or a licensing regime. "This policy is good for the Canadian economy," said Minister Manley. "It supports the increased use of electronic commerce products and services in Canada, as well as the export of Canadian information technologies to other countries."

In announcing this Cryptography Policy for Canada, the Government believes that a balanced approach has been achieved that encourages the growth of electronic commerce while maintaining the capability of law enforcement and national security agencies to ensure public safety.

"Law enforcement agencies recognize the benefits of cryptography in protecting sensitive information," noted Solicitor General Andy Scott. "However, cryptography can also be used to shield criminal activities. This policy highlights the development of a framework to help law enforcement agencies deal with the challenges posed by advanced communications and information technologies, including cryptography."

Cryptography allows users to authenticate credit card numbers, electronically signed documents, e-mail or other information stored in computers or transmitted over networks such as the Internet. It protects sensitive information such as communications, bank accounts, medical records and intellectual property. Cryptography is also an important tool in crime prevention, protecting against economic espionage and safeguarding the computer systems which support Canada's vital communications, transportation and other critical infrastructures.

The Canadian Electronic Commerce Strategy is an element of the Government of Canada's Connecting Canadians Agenda which aims to make Canada the most connected nation in the world by the year 2000.

For further information, please contact:

Jennifer Sloan
Press Secretary
Office of the Minister of Industry
(613) 995-9001