Question Period Note: Canada Economic Development for the regions of Quebec support of the tourism sector

Canada Economic Development for the regions of Quebec support of the tourism sector

• Canada Economic Development for Quebec Regions sees thetourism sector as a lever for diversification and economic vitality.

• Supporting the tourism sector helps position Quebec as a destination of choice with tourists from outside Quebec and around the world, helping to generate economic spinoffs across the province.

• Since November 5, 2015, Canada Economic Development for Quebec Regions has supported more than 900 tourism projects, with authorized assistance of over $500 million.

CED's support for the tourism sector complements that of other federal players, including Destination Canada and Canadian Heritage, and contributes to the Federal Strategy for Tourism Growth announced in July 2023. CED also complements the Québec government's interventions in this sector.

This support takes the form of regular programs, and temporary initiatives such as the Tourism Assistance Fund and the Major Festivals and Events Support Initiative.

CED's support for the tourism sector also fosters inclusive growth in the regions, including rural and small communities.

• The importance of the tourism sector was recognized in Budget 2023, identifying it as a driver of good jobs and vibrant communities across Canada.
• Moreover, the 2023 Budget has planned a $108 million program in support of the tourism sector which will be implemented across Canada by regional development agencies from 2023-2024, in support of the Federal Strategy for Tourism Growth.
• CED recognizes the importance of the tourism sector for the economy of Quebec and its regions. In 2019, the tourism sector accounted for 3.2% of jobs and 1.9% of the province's GDP. Tourism is also a key economic sector for many of Quebec's regions.
  *DEC supports the tourism sector for the development of the tourism offer and for marketing activities, with a long-term economic development perspective.
  • Assistance is generally granted directly to NPOs and SMEs in the sector, mainly festivals and sporting events, and tourist attractions and accommodations.
  • Indirect assistance is also granted to organizations that provide services to tourism businesses and NPOs, mainly regional and sectoral tourism associations (ATR-ATS).
  • The agreements between CED and the ATR-ATS have been renewed and enhanced in 2023 for a 4-year period, for a total amount of $11.9 million per year.
  • Temporary initiatives implemented by CED on an ad hoc basis also make it possible to target certain priorities and support the sector in a way that complements CED's regular programs.
    
    As of August 2023, CED has:
    • Supported tourism entities, including tourist attractions and accommodations, for a total of $110.6 million in approved assistance under the Tourism Relief Fund (TRF).
    • Supported eight major festivals and events, for a total of $67.8 million in approved assistance, under the Major Festivals and Events Support Initiative (MFESI).

Project example:
In August 2021, CED supported the Société récré-touristique de Desbiens inc, an NPO that owns the Caverne du "Trou de la Fée" tourist site located in the gorges of the Métabetchouan River, in Saguenay-Lac-Saint-Jean, and the only natural place for interpreting and observing bats in Quebec.

The non-repayable contribution of $985,320 aims in particular to add aerial walkways, a suspension bridge and other installations which have enhanced the visitor experience and strengthened the site's appeal.

Canada Economic Development for Quebec Regions’ (CED) funding of the tourism sector acts as a strategic lever for the long-term economic development of our regions. Tourism projects generate significant economic spinoffs for our regions, notably by attracting tourists from outside Quebec and abroad. Tourism-related activities fuel the vitality of our economy and contribute positively to the brand image and reputation of
Quebec and Canada.