Canada Liberal leader says not to step down

OTTAWA, Oct. 15 (Xinhua) -- Facing huge losses for his party in Tuesday's election, Canada Liberal leader Stephane Dion vowed he would not step down.

Addressing supporters early Wednesday after results put his party at only 77 seats, Dion said he had every intention of staying on as opposition leader and that Canadians have asked him "to carry the Liberal values."

Analysts said Dion, elected only last December, was expected to be replaced next spring.

With his halting English and bookish demeanor, Dion, a Francophone from separatist Quebec province, had insisted during the campaign that despite tumbling markets and fears of a recession, his party would impose a carbon tax designed to cut greenhouse gases. But that has not caught fire with the electorate.

Dubbed as Canada's "natural governing party," the Liberals were defeated in the 2006 election following the federal sponsorship scandal. But under the leadership of Stephane Dion, the party's popularity even worsened.

The Liberals won only 77 seats Tuesday out of the 308 seats of the House of Commons. It stood at 97 at the time of the parliament dissolution.

Stressing that economy will be the top priority, Dion pledged to work with all other parties to ensure that Canada overcome the economic difficulties.

"The next few months will be crucial for our country," he told supporters at his campaign headquarters in Montreal.

"It is clear that our economy, indeed the global economic crisis, is the most important issue facing our country at this time... We'll work with the government to make sure Canadians are protected."