Question Period Note: FedNor Accomplishments

About

Reference number:
FedNor 2024-2025 QP001
Date received:
May 21, 2025
Organization:
Federal Economic Development Agency for Northern Ontario
Name of Minister:
Hajdu, Patty (Hon.)
Title of Minister:
Minister responsible for the Federal Economic Development Agency for Northern Ontario

Issue/Question:

FedNor Accomplishments

Suggested Response:

• FedNor supports businesses and communities to capitalize on economic development opportunities in Northern Ontario, including ways to diversify trade and address the impacts of tariffs.

• Over the last decade, FedNor investments have contributed to 58,000 jobs. This was done with over $755 million towards 1,894 projects led by local businesses, organizations, and communities in Northern Ontario.

• Successful projects focus on innovation, business growth and expansion, Indigenous-led initiatives, clean technology, and the development of ecosystems.

• Since 2018, the Prosperity and Growth Strategy for Northern Ontario guides FedNor investments to build stronger communities, grow companies, and support innovation.

• In Budget 2024, FedNor received $2.9 million to spur business innovation in the housing sector.

• FedNor also received funding to accelerate Artificial Intelligence adoption which is emerging in sectors like agriculture.

• On March 21, 2025, the Government of Canada announced its planned response to the U.S. imposed tariffs which included proposed additional funding for Canada’s Regional Development Agencies (RDAs). With anticipated additional funding, FedNor is well-placed to support impacted SMEs and sectors in Northern Ontario boost productivity, catalyze growth, and diversify markets.

• With its commitment to supporting the Indigenous economy, FedNor recognizes the importance of true collaboration and partnership with First Nations in Northern Ontario.
o The Community Investment Initiative for Northern Ontario (CIINO) provides recipient municipalities and First Nation communities with funding to hire an economic development officer for three years to implement economic development priorities.
o As part of recent enhancements to this initiative, First Nation communities who do not have a strategic plan in place could hire an economic development officer to develop one.

• Striving for client service excellence, FedNor met its 80 working days standard to make a decision on detailed applications 85 percent of the time.

• In August 2024, FedNor launched its online client portal to allow clients to securely apply to the Agency’s programs, check the status of their applications, and manage their agreements throughout the life cycle of the project.

• FedNor supports the recruitment of a much-needed skilled workforce in Northern Ontario by helping communities participating in the Rural Community Immigration Pilot and the Francophone Community Immigration Pilot. These initiatives attract, integrate and retain newcomers to Canada, including bilingual and French-speaking newcomers.

Background:

FedNor’s Regional Economic Growth through Innovation Program helps support business scale-up, increase commercialization rates and enhance regional cluster development, resulting in job creation in Northern Ontario. Through its Northern Ontario Development Program, FedNor works closely with and invests in communities to help them attract and retain investment and businesses, in addition to supporting efforts to diversify the regional workforce.

FedNor’s programs provide targeted investments to support women entrepreneurs, to build a bilingual workforce, and to support Indigenous business growth.

FedNor continues to promote the economic participation of equity-deserving groups, including those with multiple intersecting identities.

In addition to its regular programming, FedNor invests in tourism projects to strengthen the regional tourism economy by building capacity. This includes strengthening tourism benefits for communities by driving visitation to rural and remote areas, supporting the Indigenous tourism industry, and extending the shoulder tourism season, all promoting economic, environmental and cultural sustainability.

Additional Information:

o Innovation: IRegained Inc. received $498,550 through the Regional Economic Growth through Innovation Program to commercialize a device that helps stroke survivors regain use of lost hand functions. The portable device, called MyHand System, allows patients to regain hand dexterity to promote more independent living.

o Business growth and expansion: Economic Partners - Sudbury East/West Nipissing Inc. received $716,800 through the Northern Ontario Development Program, to support the Northern Ontario Agri-Food Pavilion at the 2024 Royal Agricultural Winter Fair. The pavilion featured over 50 businesses from the North and provided them with opportunities to access new markets.

o Indigenous-led initiatives: 1) Whitesand First Nation received $758,150 through the Northern Ontario Development Program to support a new community-owned bioeconomy centre. This multi-year investment will position Whitesand First Nation to create sustainable economic development opportunities. 2) Nishnawbe Aski Development Corporation received $4.9 million in multi-year Northern Ontario Development Program funding to provide support for up to 20 First Nation communities to undertake a comprehensive community planning process to help them realize the full economic benefits from resource development opportunities such as the Ring of Fire.

o Clean technology: BioNorth Solutions received $145,500 through the Regional Economic Growth through Innovation Program to expand and upgrade its facility to develop environmental solutions including bio-products. This investment will foster the bioremediation of contaminated properties found in Northern Ontario, in Canada, and internationally.

o The development of ecosystems- 1) Cambrian College of Applied Arts and Technology received more than $682,000 in Regional Economic Growth through Innovation funding to create a battery electric vehicle lab to provide mining companies and small to medium-sized enterprises with testing and support services for products related to battery vehicles. 2) Thunder Bay Regional Health Sciences Centre received $1.2 million in Regional Economic Growth through Innovation funding to purchase and install specialized equipment for the development of radioactive isotopes to help diagnose and treat health conditions such as heart disease and cancer.