Sherbrooke — A major political clash erupted this weekend as Parti Québécois (PQ) Leader Paul St-Pierre Plamondon reaffirmed his party’s intention for an independent Quebec to adopt its own national currency, a proposal that has drawn sharp criticism from the Quebec Liberal Party.

Speaking before several hundred energized PQ members at the party’s National Council meeting in Sherbrooke, St-Pierre Plamondon said that creating a sovereign Quebec currency is a central pillar of the independence project. He indicated the transition away from the Canadian dollar could take up to 10 years, noting that Quebec would need a phased and carefully managed approach.

“For too long, federal decisions and weak provincial leadership have held Quebec back,” St-Pierre Plamondon said. “We have the right — and above all, the duty — to build a different Quebec, not the Quebec of decline.”

Liberals Blast Proposal as “Dangerous Nonsense”

Quebec Liberal finance critic Frédéric Beauchemin quickly condemned the PQ’s plan, calling it irresponsible and economically destabilizing.

Beauchemin warned that separation from Canada would immediately remove Quebec from its current trade arrangements and financial protections, damaging the province’s economic stability and eroding purchasing power for families.

“Fiscal policy isn’t a fairy tale,” Beauchemin said. “The PQ’s proposal is not only unrealistic — it threatens the financial security of Quebecers.”

St-Pierre Plamondon, for his part, said he fully expected “the federalist camp” to react with fear-mongering and claimed those warnings are exaggerated.

What Is the PQ’s Quebec Currency Policy? (Detailed Explanation)

The Parti Québécois has outlined a multi-stage plan for creating and adopting a Quebec national currency after independence. Key points include:

1. Transition Period of Up to 10 Years

• Quebec would initially continue using the Canadian dollar during the early years after independence.
• This avoids sudden disruption to savings, mortgages, pensions, and business operations.

2. Creation of a Quebec Central Bank

The PQ envisions:

• A Banque nationale du Québec, modeled after the Bank of Canada.
• This institution would:
  • Control Quebec’s monetary policy
  • Issue the new currency
  • Regulate financial institutions
  • Manage interest rates and inflation

3. Gradual Introduction of a New Currency

• Quebec would slowly introduce its new national currency into circulation.
• The transition would be voluntary at first, with businesses and citizens allowed to keep using the Canadian dollar in the short term.
• Over time, government pay, public pensions, and provincial contracts would shift to the new currency.

4. Control Over Monetary Policy

The PQ argues that:

• A sovereign Quebec must control its own interest rates and financial policies.
• Decisions made in Ottawa do not always reflect Quebec’s economic reality.

5. Objective: Quebec Financial Independence

According to the PQ:

• Having its own currency is essential to true nationhood.
• Quebec would join the international financial system as a recognized monetary authority.
• The government believes this independence would strengthen Quebec’s economic identity and global presence.

6. Critics’ Concerns

Economists and opponents argue:

• A new currency could weaken Quebec’s purchasing power.
• Borrowing costs might rise due to market uncertainty.
• Quebec businesses could face added currency-exchange risks.
• The transition could trigger capital flight or destabilize financial institutions.