TORONTO — Finance Minister Jim Flaherty says it's up to European leaders to commit their extensive resources to fix the eurozone's government debt crisis before they ask for help from countries outside the region.

Speaking to reporters in Toronto, Canada's finance minister said it has taken too long for European authorities and political leaders to deal with the crisis.

Flaherty said there is "some effect, clearly" that the "European situation" is having a negative impact on Canada's economy.

A few weeks ago, private sector economists were anticipating Canada's gross domestic product would grow by 2.7 per cent to 2.8 per cent this year over 2010 but it appears now that the growth will be a more modest two to 2.1 per cent, Flaherty said.

"Some of that is because of the uncertainty, the lack of confidence arising out of the European situation and the failure of the European authorities, the eurozone leaders, to effectively deal with the issue. There's been too much delay."

It's a message that Flaherty has been delivering publicly for months but with little apparent impact.

Flaherty said the Harper government believes its role is to maintain a sound fiscal policy and do what it can to help the private sector create jobs.

The last budget, which is before the Senate for approval, included credits for small businesses that create jobs, lower corporate taxes and other measures to help manufacturers, he said.

"All of these are in play right now and will help job creation in Canada. At the same time, we can look at some other measures if it's necessary for budget 2012," Flaherty said.

But Flaherty, who was in Toronto as part of his pre-budget consultation process, said it's important for the federal government to remain financially sound.

"It is the private sector that creates jobs. We need to have private sector confidence. That's what's lacking in many other places. We need to maintain and encourage and foster that confidence in Canada."

In response to a La Presse report that the government may cut spending by 10 per cent instead of five per cent, as previously stated, he said that different government departments and agencies make projections under both scenarios.

He said he will review the summary of their findings in January.

"We'll do what we have to do to make sure that we can balance in the medium term," he said.