Federal Budget Won’t Close Growth Gap
Federal Budget Won’t Close Growth Gap
The decisions we make in 2023 will determine Canada’s ability to build a resilient, green economy that can help us overcome the climate emergency, geopolitical instability, or the next great global health crisis.
[OTTAWA] — [March 28, 2023] — The decisions we make in 2023 will determine Canada’s ability to build a resilient, green economy that can help us overcome the climate emergency, geopolitical instability, or the next great global health crisis. The 2023 federal budget was a chance to establish the right policy framework that builds this economy by encouraging investment and commerce.
“Today was an opportunity to lay out a clear plan for growth. While there are some positives, we still lack a coordinated strategy to generate that economic growth over the long term,” says Perrin Beatty, President and CEO of the Canadian Chamber of Commerce. “Businesses across the country are feeling the impact of anemic growth coupled with labour shortages and rising costs for doing business. For future generations to enjoy the opportunities and prosperity we have been so fortunate to inherit, we must unleash the potential of private industry by building a 21st Century workforce, investing in trade-enabling infrastructure and fixing our broken regulatory system.”
In the aftermath of the pandemic, our international competitors continue to outpace us as Canada experiences extremely low growth. And achieving competitive levels of economic growth, a clean climate, and equal opportunity for all Canadians aren’t mutually exclusive, but mutually dependent. To achieve these goals we need government to eliminate the disincentives that drive away investment and focus on pro-business policies for the benefit of all Canadians.
The Canadian Chamber is pleased to see the government commit to work with business to establish a National Supply Chain Strategy. However, this was also a missed opportunity for the government to introduce measures to encourage private sector investment by fixing a broken regulatory system and stepping up efforts to get the provinces to eliminate barriers to interprovincial trade.
Although the Canadian Chamber is pleased to see a number of new measures introduced which will ensure our domestic clean technology players can remain competitive in the face of the U.S. Inflation Reduction Act, significant details are still missing from the Budget, including the scope of some of the tax credits and when the Canada Growth Fund will begin disbursing funds.
With over 800,000 job vacancies in Canada at this time, the Canadian Chamber of Commerce was also hoping to see the Budget focus more sharply on the skills and talent our workforce will need now and into the future.
“Our country cannot borrow its way to prosperity,” Mr. Beatty says. “Canada needs policies, strategic investments and federal leadership that will spur economic growth. Canada’s businesses are anxious to do their part, but the federal government needs to see them as partners, not problems, in building a more successful Canada.”
About the Canadian Chamber of Commerce — The Future of Business Success
The Canadian Chamber of Commerce is Canada’s largest and most activated business network — representing over 400 chambers of commerce and boards of trade and more than 200,000 business of all sizes, from all sectors of the economy and from every part of the country — to create the conditions for our collective success. The Canadian Chamber of Commerce is the undisputed champion and catalyst for the future of business success. From working with government on economy-friendly policy to providing services that inform commerce and enable trade, we give each of our members more of what they need to succeed: insight into markets, competitors and trends, influence over the decisions and policies that drive business success and impact on business and economic performance.
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Senior Director, Corporate Communications & Public Relations
Canadian Chamber of Commerce