November 23, 2018 – Toronto, Ontario – Department of Finance Canada
With a strong and growing economy, there are more jobs and opportunities for Canada’s middle class and people working hard to join it. To ensure the strength of the economy over the long term, the Government is taking steps to encourage businesses to invest in Canadian communities and Canadian jobs—an important part of building an economy that works for everyone.
Today, Finance Minister Bill Morneau spoke with members of Canadian Club Toronto, highlighting Canada’s economic strengths and discussing the Government’s recently released Fall Economic Statement 2018.
Over the past three years, the hard work of Canadians has created more than half a million new full-time jobs, pushing the unemployment rate to its lowest level in 40 years. Wage growth in Canada is at its fastest pace in eight years, and Canada is expected to remain among the fastest-growing economies in the G7 this year and next.
The Government proposes to build on this economic strength, with measures in the Fall Economic Statement that will:
- 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.