Government of Canada continues unprecedented investments for economic recovery, business growth and job creation in Northern Ontario
GOC’s Budget 2021 supports standalone FedNor agency and increased support for key economic sectors across the region
The Government of Canada has been supporting small businesses and protecting jobs since the pandemic began and will continue to do so for as long as it takes. Leveraging their unique connection to communities and local businesses, Canada’s Regional Development Agencies (RDAs), like FedNor in Northern Ontario, continue to play a vital role in ensuring that businesses and communities are equipped to weather the storm, prepare for the reopening of the economy and plan for future growth.
For example, from May 2020 to April 15, 2021, the Regional Relief and Recovery Fund (RRRF), delivered by FedNor, has provided over $90 million in support of more than 1,100 businesses and organizations, nearly 360 of which are owned by women and 350 are in the tourism sector. The funding provided through the RRRF has helped protect more than 4,600 jobs in Northern Ontario.
“This past year has taught us the importance of investing in our local and regional economies as a way to build resilience and maintain vibrancy in our communities. The impact of FedNor’s support in Northern Ontario through the pandemic proves they are the right tool create jobs, stimulate growth and help us come back stronger than ever, which is why we are proud to invest in their future through Budget 2021.” – The Honourable Mélanie Joly, Minister of Economic Development and Official Languages and Minister responsible for FedNor
Budget 2021: Investments to empower communities and businesses
Today, the Honourable Mélanie Joly, Minister of Economic Development and Official Languages and Minister responsible for FedNor, highlighted the positive impact Budget 2021 will have on Northern Ontario’s economy. Specifically, the Minister referred to measures outlined in the Budget such as making FedNor a standalone agency, as well as a commitment of more than $2.4 billion nationally for programs to be delivered by Canada’s RDAs. FedNor will be delivering Northern Ontario’s share of this funding.
Included in those national measures is an additional $80 million for RRRF and an extension to the application deadline to June 30, 2021, to help Canadians and businesses through to the recovery. This funding is in addition to the $2 billion in RRRF funding already being delivered by RDAs and their partner Community Futures Development Corporations.
“Our government will continue to do whatever it takes to assist Northern Ontario communities, businesses and organizations get through these difficult times. Budget 2021 will enable FedNor and its partner Community Futures Development Corporations to offer essential economic lifelines so no one is left behind, and to ensure that the region is well positioned for growth and long-term sustainability.” – Terry Sheehan, Parliamentary Secretary to the Minister of Economic Development and Official Languages and Minister responsible for FedNor
Other investments proposed as part of Budget 2021 to be delivered by Canada’s RDAs include:
- $700 million over three years for business financing to help position local economies for long-term growth by transitioning to a green economy, fostering an inclusive recovery, enhancing competitiveness, and creating jobs;
- $500 million for a new Tourism Relief Fund to help tourism businesses recover from the pandemic and position themselves for future growth;
- $500 million over two years for a new Canada Community Revitalization Fund that will invest in community infrastructure projects that stimulate local economies, create jobs, and improve the quality of life for Canadians; and
- More than $648 million to support other elements of the economy that are key to regional economies including the aerospace sector ($250 million), women entrepreneurs ($146.9 million), Black entrepreneurship ($51.7 million), and major festivals ($200 million).
By increasing the role of the Regional Development Agencies in our recovery and relaunch, the Government of Canada is taking a new approach to economic development: building on regional strengths, fostering job creation, growing local economies, and improving Canada’s collective competitiveness.
- 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.
- FedNor is the Government of Canada’s economic development organization for Northern Ontario. It works closely with businesses and community partners, and offers programs and services, as well as financial support of projects that lead to job creation and economic growth.
- The Honourable Mélanie Joly is the Minister responsible for Canada’s six regional development agencies, including FedNor.