OTTAWA, Oct 1, 2008 (AFP) - Canada's televised political debate kicked off on Wednesday with a focus on the repercussions of the US financial crisis, with opponents pouncing on the prime minister's assurances that all is well.

'We have a budget surplus. We have an economy that continues to create jobs. We're not experiencing a crisis in our financial system,' Conservative Prime Minister Stephen Harper said at the onset.

'The big challenge, as far as I'm concerned, is to stay on the right track to ensure that we continue to lower our taxes, to target our spending, base them on the real needs of real Canadians and to keep in surplus mode,' he said.

Canada faces a 'period of uncertainty, because of the crisis in the United States,' he conceded, but added, 'Canada's economy is solid.'

'The basics, the fundamentals of our economy are strong,' said Harper.

His rivals immediately blasted the Conservatives' economic record and accused Harper of glazing over a softening economy.

'You have not been a good manager of the economy,' said newcomer Elizabeth May, leader of the Green Party. 'Your policies are threatening Canada's economy,' she said.

'We have to stop saying, as you do Mr. Harper, that all is okay,' said Jack Layton of the leftist New Democrats, echoed by separatist Bloc Quebecois leader Gilles Duceppe and Liberal leader Stephane Dion.

The leaders were all seated around a table at the National Arts Centre in Ottawa, answering pre-recorded questions from voters.

Dion also outlined a five-point plan to review the fiscal health of the nation and its financial regulatory framework, and to consult with economists and others about how best to bolster the economy, if elected.

He accused Harper of squandering a budget surplus inherited from the previous Liberal administration, of massive job losses under his watch, and of flirting with a deficit.