Leclaire taking wait-and-see approach on budget allocation
A recent federal budget allocation will mean a financial shot in the arm for Indigenous Financial Institutions (IFI) and entrepreneurship from coast to coast. This allocation shows the government is serious about Indigenous prosperity, the CEO of the National Aboriginal Capital Corporations Association (NACCA) said.
The federal government earmarked $350 million to be allocated to NACCA and its member IFIs when it released the 2024 federal budget in Ottawa last week.
That funding will play a pivotal role in supporting Indigenous self-determination and economic empowerment, NACCA said, but locally, Tewatohnhi’saktha Business Services Director Darryl Leclaire is taking a wait-and-see approach.
“It’s a substantial increase, and obviously we support the ability to support Indigenous entrepreneurship and provide financing to those entrepreneurs, but we don’t yet know exactly how that will be allocated,” he said.
Leclaire will convene with other managers of Indigenous entrepreneurial programs in two weeks in Ottawa, and it’s at that point he expects to have more information.
“Obviously, I’m excited to see how it’s all going to look. We don’t yet have all the details yet, though. We’ll know more after that meeting in two weeks,” Leclaire added.
The “crucial” investment is a sign the government recognizes the importance of investing in Indigenous communities, NACCA CEO Shannin Metatawabin said.
“The inclusion of NACCA in Budget 2024 demonstrates the government's commitment to advancing Indigenous economic prosperity,” Metatawabin said. “This funding will enable us to continue our transformative work, breaking down systemic barriers and fostering economic participation aligned with Indigenous cultural values. We acknowledge and thank the government for their strong belief, support and inclusion of NACCA and the network of IFIs as we look forward to a continuance of collaborative positive outcomes towards Indigenous prosperity."
NACCA is a network of more than 50 IFIs, has been supporting Indigenous business development for more than 35 years, supporting almost $12 billion in economic growth and creating over 126,000 jobs while improving the well-being of Indigenous communities.
NACCA has facilitated the issuance of 53,000 loans totaling $3.3 billion to small and medium-sized Indigenous businesses across Canada in that time. Additionally, the agency said the new funding will go a long way in supporting vital programs, those empowering Indigenous women and youth entrepreneurs, essential for leveraging private sector capital and deploying loans to Indigenous businesses.
Finally, the government will inject $150 million into the Indigenous Growth Fund, with the idea of establishing a sustainable reservoir of capital.
Marc Lalonde, Local Journalism Initiative Reporter, Iori:wase
