Minister Morneau Highlights Next Steps in the Government’s Plan to Grow the Economy
November 22, 2018 – Ottawa, Ontario – Department of Finance Canada
Canada’s economy is strong and growing, with more jobs and opportunities for the middle class and people working hard to join it. In the last three years, hard-working Canadians have created more than half a million new full-time jobs, pushing the unemployment rate to its lowest level in the past 40 years. At the same time, consumer confidence is strong and business profits are up—good news for Canadians and the communities they call home.
Today, Finance Minister Bill Morneau spoke at the Economic Club of Canada in Ottawa, highlighting Canada’s economic strengths and discussing the Government’s recently released Fall Economic Statement 2018, which lays out the next steps in the Government’s plan to grow the economy by investing in middle class jobs.
Through the Fall Economic Statement 2018 the Government proposes to:
- Improve competitiveness by allowing the full cost of machinery and equipment used in the manufacturing and processing of goods to be written off immediately for tax purposes, and by introducing the Accelerated Investment Incentive to support investment by businesses of all sizes and across all sectors of the economy. These changes will make it more attractive to invest in assets that will help drive business growth and secure jobs for middle class Canadians.
- Increase investment in the clean technology sector by allowing specified clean energy equipment to be eligible for an immediate write-off of the full cost. This will help achieve climate goals, and position Canada to be more globally competitive.
- Accelerate support for business innovation by providing a further $800 million over five years to the Strategic Innovation Fund, which will support innovative investments across the country and in all economic sectors. Notably, of this amount, $100 million will focus on providing support to the forest sector.
- Make Canada a globally connected economy by launching an Export Diversification Strategy aimed at increasing Canada’s overseas exports by 50 per cent by 2025.
- Remove barriers to trade within Canada by working with provinces and territories to enable businesses to transport goods more easily, to harmonize food regulations and inspections, to align regulations in the construction sector (including the harmonization of building codes across Canada), and to facilitate greater trade in alcohol between provinces and territories.
- Introduce measures to make it easier for businesses to grow by modernizing federal regulations and encouraging regulators to consider economic competitiveness when designing and implementing regulations, while continuing to protect Canadians’ health and safety, as well as our environment.
- Support innovative solutions to some of Canada’s big challenges by creating a Social Finance Fund that gives charitable, non-profit and social purpose organizations access to new financing, and connects them with non-government investors.
- Advance pay equity by ensuring that women and men in federally regulated sectors receive equal pay for work of equal value.
The Fall Economic Statement also announces the Government’s intent to introduce three measures to support Canadian journalism.
“The Government’s plan is working. The hard work of Canadians, combined with smart and fiscally responsible investments, are helping to build an economy that works for everyone, where the benefits of growth are felt by more and more people. The Fall Economic Statement is the latest step in our Government’s plan to invest in middle class jobs and grow the economy today, and for generations to come.”
– Bill Morneau, Minister of Finance