Canada investments to provide robust support for key areas of Northern economy

The COVID-19 pandemic is an unprecedented event, which brings unique challenges to businesses across the territories. CanNor has been there to support entrepreneurs and businesses since the beginning of the pandemic and continues to support their recovery by making strategic investments that help contribute to Canada's economic recovery.

"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 CanNor's support in Canada's territories through the pandemic proves they are the right tool to 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 CanNor

"CanNor plays a key role in supporting the unique territorial economies. Thanks to the Agency's expertise and strong relationships with its territorial partners we are able to tailor funding and truly meet the needs of Northerners and Northern businesses to help them grow and prosper once more."

Larry Bagnell, Parliamentary Secretary to the Minister of Economic Development and Official Languages (Canadian Northern Economic Development Agency)

"CanNor's ongoing support throughout the pandemic has been crucial to the survival of many businesses. The Government of Canada's funding has gone a long way in helping entrepreneurs across the territories weather the economic impacts of the past year."

Michael McLeod, Member of Parliament for the Northwest Territories

• CanNor's Northern Business Relief Fund (NBRF) was designed to provide direct support for ongoing operating costs incurred by small- and medium-sized businesses across the territories, in order to help them continue to play their vital role in Northern communities.

• The national Regional Relief and Recovery Fund (RRRF), delivered through Canada's regional development agencies, supported SMEs across Canada which were unable to access other relief measures and were in danger of falling through the cracks.

• 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 for the North include:

  • Investing in Clean Energy in Northern and Indigenous Communities by:
    • Investing $40.4 million over three years, starting in 2021-22, to support feasibility and planning of hydroelectricity and grid interconnection projects in the North. This funding could advance projects such as the Atlin Hydro Expansion Project in Yukon and the Kivalliq Hydro-Fibre Link Project in Nunavut. Projects will provide clean power to northern communities and help reduce emissions from mining projects.
  • Supporting Post-secondary Education in the North through:
    • $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.
  • Ensuring Food Security in the North by providing:
    • $163.4 million over three years, starting in 2021-22, to expand the Nutrition North Canada program and enable the Minister of Northern Affairs to work directly with Indigenous partners, including in Inuit Nunangat, to address food insecurity.