The Minister of Northern Affairs met with Indigenous and territorial partners, and representatives from the small business and tourism industry in the Northwest Territories to discuss investments from Budget 2021: A Recovery Plan for Jobs, Growth, and Resilience.

"The COVID-19 pandemic has had a significant impact on the North, including on Indigenous partners, small and medium sized businesses, the tourism and hospitality sector and more. Budget 2021 is an historic investment to address the the COVID-19 recession, positioning the North to "build back better" as we move forward to finish the fight against COVID-19 and ensure a resilient economy."

The Honourable Daniel Vandal, P.C., M.P.
Minister of Northern Affairs

"The federal government has continued to be a strong partner to the Northwest Territories throughout the COVID-19 pandemic. Budget 2021 is a result of that continued collaboration and I am pleased to see that our government is directly responding to the needs of northerners in recovering from the pandemic stronger than ever."

Michael McLeod, Member of Parliament for Northwest Territories

• Budget 2021 includes $101.4 billion over three years in proposed investments as part of the Government of Canada's growth plan that will create good jobs and support a resilient and inclusive recovery. Key measures include:

  • Investing $22 million over three years, starting in 2021-22, to support the National Aboriginal Capital Corporations Association's (NACCA) Indigenous Women's Entrepreneurship Initiative by providing tools, services, and resources to increase the number of Indigenous women entrepreneurs. This funding would support NACCA in achieving its target of increasing the number of Indigenous women entrepreneurs who access financing through Aboriginal Financial Institutions by 50 per cent.
  • $1.4 billion to see Indigenous communities and businesses through the COVID-19 pandemic, including distinctions-based funding under the Indigenous Community Support Fund and the Indigenous Community Business Fund, funding to maintain the public health response in First Nations communities, and support for the First Nations Finance Authority.
  • $64 million to help Indigenous entrepreneurs, including Indigenous women, access capital and business supports to start and grow their businesses.
  • Budget 2021 proposes to provide $8 million over two years, starting in 2021-22, to the Government of the Northwest Territories to support the transformation of Aurora College to a polytechnic university. This would help create new opportunities in the Northwest Territories and prepare northerners for good jobs.
  • $700 million over three years, starting in 2021-22, for the regional development agencies to support business financing. This would position local economies for long-term growth by transitioning to a green economy, fostering an inclusive recovery, enhancing competitiveness, and creating jobs in every corner of the country.
  • $500 million over two years, starting in 2021-22, to the regional development agencies for community infrastructure. These projects will stimulate local economies, create jobs, and improve the quality of life for Canadians from coast to coast to coast.
  • $87 million over five years to modernize federal procurement and create opportunities for specific communities by diversifying the federal supplier base. This will in part, support efforts to meet Canada's target of 5 per cent of federal contracts being awarded to businesses managed and led by Indigenous people.
  • Extending the Indigenous Business Initiative to June 30, 2021 to support Indigenous businesses during the COVID-19 pandemic by providing interest-free loans and non-repayable contributions for First Nations, Inuit, and Métis Nation businesses.
  • Budget 2021 proposes to expand access to the travel component of the Northern Residents Deduction. Northerners without employer-provided travel benefits would be allowed to claim up to $1,200 in eligible travel expenses. This measure would take effect starting with the 2021 tax year.
  • $25 million this fiscal year to the Government of the Northwest Territories to address housing priorities, supporting construction of 30 new public housing units across the Territory.
  • Establishing a Canada-wide early learning and child care system, in partnership with provincial, territorial, and Indigenous partners, which will help all families access affordable, high-quality, and flexible child care no matter where they live, and no longer shoulder the burden of high child care costs. The budget proposes new investments totalling up to $30 billion over the next five years and $8.3 billion ongoing to support this vision.
  • Extending emergency supports to bridge Canadians and Canadian businesses through to recovery, including:
    • Extending the Canada Emergency Wage Subsidy, the Canada Emergency Rent Subsidy and Lockdown Support until September 25, 2021.
    • Extending important income support for Canadians such as a 12-week extension of the Canada Recovery Benefit and 4-week extension of the Canada Recovery Caregiving Benefit.
  • Enhancing Employment Insurance sickness benefits from 15 to 26 weeks.
  • Supporting small and medium-sized businesses through several transformative programs, such as:
    • A new Canada Digital Adoption Program that will assist over 160,000 businesses with the cost of new technology. And it will provide them with the advice they need to get the most of new technology with the help of 28,000 young Canadians who will be trained to work with them.
    • Allowing Canadian small businesses to fully expense up to $1.5 million in capital investments in a broad range of assets, including digital technology and intellectual property. This represents an additional $2.2 billion investment in the growth of Canada's entrepreneurs over the next five years.
  • Revitalizing Canada's tourism sector through $1 billion to help tourism businesses recover and support festivals and cultural events that provide jobs and growth in many of our cities and communities.
  • Supporting women, Black Canadians, and other underrepresented entrepreneurs who face barriers to launching and owning businesses through $300 million to enhance initiatives like the Black Entrepreneurship Program and the Women Entrepreneurship Strategy.
  • Establishing a $15 federal minimum wage.
  • Enriching the Canada Workers Benefit, which will support about 1 million more Canadians and lift nearly 100,000 people out of poverty. This will result in additional support of $8.9 billion over six years for Canada's low-wage workers.
  • Closing the gaps between Indigenous and non-Indigenous peoples, supporting healthy, safe, and prosperous Indigenous communities, and advancing meaningful reconciliation with First Nations, Inuit, and the Métis Nation through an historic investment of over $18 billion.

Related products

• Budget 2021: A Recovery Plan for Jobs, Growth, and Resilience Budget Speech
• Budget speech

Associated links

• Fall Economic Statement 2020: Supporting Canadians and Fighting COVID-19
• Canada's COVID-19 Economic Response Plan

For more information, media may contact:

Antoine Tremblay
Press Secretary
Office of the Honourable Daniel Vandal
Minister of Northern Affairs
819-953-1153

Media Relations
Crown-Indigenous Relations and Northern Affairs Canada
819-934-2302
RCAANC.media.CIRNAC@canada.ca

Stay connected

Join the conversation about the North:

Twitter: GovCan_North
Facebook: GovCan – North

You can subscribe to receive our news releases and speeches via RSS feeds. For more information or to subscribe, visit www.cirnac.gc.ca/RSS