TORONTO - A Liberal government would immediately restore millions in funding that is crucial to promoting Canadian arts and culture abroad, Opposition Leader Stephane Dion said Thursday.

"Arts and culture are tremendous vehicles to label your country and help it to be known and respected around the world,'' Dion said following a roundtable with Canadian cultural figures, including authors Peter C. Newman, Margaret Atwood and Graeme Gibson.

Dion pledged to restore $11.8 million in funding to the international promotion of Canadian arts and culture through the Public Diplomacy Program, which was cut by the Conservatives in 2006.

He would also increase the funding for international arts touring and promotion by $11 million over three years.

Thursday's roundtable was the third in a series of such meetings which have taken place in Winnipeg and Montreal.

"My aim is to have a competitive and sustainable economy, and this needs creation and innovation, which would be at the core of my policy,'' said Dion.

"What can you argue against the necessity to promote arts and culture abroad?''

The crowd of writers, representing some Canada's best in literature, were enthusiastic about Dion's announcement.

"There's a great hunger abroad for Canadian artists and thinkers to express themselves,'' said Barbara Gowdy, a novelist and short story writer who has twice been nominated for a Governor General's award.

Having money available for artists through the Public Diplomacy Program is important to the international community's perception of Canadians, she said.

The national director of the Canadian Conference of the Arts said the cuts to this program have been felt, though there's no way to measure how badly artists have been affected.

"There's been an impact, there's no doubt about that,'' said Alain Pineau. "It's very difficult to get this information . . . it's projects that don't materialize, theatre companies shutting down.''

"The money was spent before, and not spent on frivolities,'' he said.

Author and columnist Russell Smith called the visit from Dion "encouraging.''

"It's something we would not expect from the current government,'' said Smith, who writes a weekly column for the Globe and Mail. "We've tried. They don't take a great interest in the arts.''

Pineau said the announcement is encouraging, though he said he hopes the Liberals make more strides in establishing a cultural policy of their own.

"We're rejoicing, but there should be a lot more coming.''