Question Period Note: Supporting the Indigenous Economy

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• Investment in the Indigenous economy is an investment in a strong and prosperous Canada.
• The Indigenous economy contributes significantly to Canada's GDP, with Indigenous Gross Domestic Income (GDI) reaching $60.2 billion in 2022, according to Statistics Canada. This represents 2.3% of the total Canadian GDI that year and has increased by 74.7% since 2012, outpacing the growth of the overall economy.
• Our government will continue to invest in the Indigenous economy by removing systemic barriers faced by Indigenous governments, organizations and peoples in managing their assets, lands and resources; enabling access to capital to enable participation in major projects; supporting Indigenous businesses; and investing in infrastructure in Indigenous communities.

Government of Canada policies and programs aim to close the socio-economic gaps between Indigenous and non-Indigenous peoples. Annual federal investments to address socio-economic gaps for Indigenous People have risen from $11.4B in 2015/16 to an estimated $32B in 2024/25, leading to a number of successes.

Unlike provinces and territories that receive statutory federal transfers for these services for non-Indigenous Canadians, most services provided to Indigenous Peoples by Indigenous Services Canada do not have predictable, stable and ongoing funding. To maximize the efficiency of federal investments into Indigenous well-being, fixing the fiscal foundations of the provision of Indigenous services by the federal government will be necessary.

Substantive equality, as interpreted by the federal courts, means that federal policies, programs and services should address and rectify systemic inequalities, ensuring that all Indigenous individuals have equal opportunities and access to the services and benefits available to non-Indigenous individuals. Much of the federal government’s active litigation is related to discriminatory underfunding of services (substantive inequality).

If pressed on Investing in the Indigenous Economy to Increase Canadian Prosperity
• The direct cumulative economic benefit of closing key socio-economic gaps has been estimated to be as high as $286 billion over the next two decades.
• We will support access to capital to enable Indigenous communities to participate in major projects with a focus on equity ownership and own-source revenues.
• It is critical that legislative, regulatory and administrative barriers that impede Indigenous governments’ control over financial resources and policies are removed.
• Investment in Indigenous infrastructure priorities, including housing and roads, will contribute to closing the infrastructure gaps.

If pressed on investing in human capital
• This government will invest in human capital through education, skills development and increasing worker employability in support of the Canadian Economy
• This includes enhanced support for Indigenous elementary, secondary and post-secondary education to address the gap and support improved individual and community outcomes K-12 Education and Post-Secondary Education.
• Targeted investments for Income Assistance in case management and pre-employment supports to support First Nations individuals to access education, training, and ultimately participate in the Canadian economy are essential.