Canada continues to make unprecedented investments for economic recovery, business growth and job creation

From: Canada Economic Development for Quebec Regions

Montréal, Quebec, May 11, 2021 – Canada Economic Development for Quebec Regions (CED)

The COVID-19 pandemic has been disrupting the country’s economy for over a year now. During these long months marked by unprecedented challenges, the Government of Canada has taken quick action to provide support to protect Canadians and boost businesses by adapting its response to the health crisis.

Economic development businesses and organizations represent the backbone of regional and community economies, generate good local jobs and are a source of pride for their communities. It is therefore essential to use the unique connection CED maintains with communities and local businesses to help these businesses quickly get back on their feet.

Budget 2021: Measures to help communities and businesses affected by the impacts of COVID-19

Today, the Honourable Mélanie Joly, Minister of Economic Development and Official Languages, highlighted the work done by the Government of Canada since the start of the crisis. The government has stepped up to the plate, actively reaching out to businesses and organizations to propose concrete solutions to the daily challenges posed by the pandemic. Budget 2021 reflects the efforts already made to help businesses since the pandemic began: Over $2.4 billion will be granted to Canada’s regional development agencies (RDAs) so they can assist SMEs on the ground. CED will deliver the portion of this funding allocated to Quebec.

These national measures include an additional $80 million for the Regional Relief and Recovery Fund (RRRF) across Canada and an extension of the application deadline to June 30, 2021, to help Canadian businesses position themselves well for the economic recovery. This funding comes in addition to the $2 billion for the RRRF already distributed by the RDAs and their partners. As of April 22, 2021, the RRRF has provided necessary funds and technical support to 9857 businesses and third-party organizations, with over $280 million in contributions, enabling the creation and maintenance of nearly 50,000 jobs in Quebec.

Other investments proposed in Budget 2021 to be delivered through the RDAs include:

  • $700 million over three years to support business financing in order to boost the long-term growth of local economies, the green economy, an inclusive recovery and the creation of new jobs;
  • $500 million for a Tourism Relief Fund to help the tourism industry recover from the effects of the pandemic and position itself favourably for the post-pandemic period;
  • $500 million over two years for the new Canada Community Revitalization Fund, which will invest in infrastructure projects, thereby stimulating community economies, creating jobs and improving the quality of life of citizens;
  • Over $500 million to support key elements of regional economies, including aerospace ($250 million), Black entrepreneurs ($51.7 million) and major festivals ($200 million);
  • $360 million over seven years, starting in 2021-2022, to launch a National Quantum Strategy.

By giving RDAs a greater role to play in Canada’s economic recovery, the federal government is taking a new approach to economic development: It is leveraging and strengthening regional assets, creating jobs, growing local economies and improving the country’s competitiveness.

The Government of Canada’s most recent budget outlines unprecedented investments, including to set businesses on track for long-term growth and to ensure Canada’s future is more equitable, greener and more prosperous.

Quote

“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 CED’s support in Quebec through the pandemic proves we have used the right tools 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, Member of Parliament for Ahuntsic-Cartierville, Minister of Economic Development and Official Languages and Minister responsible for CED

Quick facts

  • RDAs help businesses and innovators succeed. They also ensure that Canada’s regions are heard in Ottawa and provide invaluable support to advance and diversify regional economies so that communities can prosper.

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