November 21st fiscal update must respond to global and domestic economic uncertainty  

When the federal government issues its fall fiscal update in less than two weeks, the leaders of Canada’s most successful and innovative companies will be looking for focus and careful execution of public policy to tackle the global and domestic economic challenges facing Canadians.  

In a recent letter to Deputy Prime Minister and Finance Minister Chrystia Freeland, Hyder urged the federal government to use the economic update as an opportunity to prioritize two areas for action: 

• Fiscal responsibility: In an era of high interest rates and low growth, the government should avoid new structural spending and adopt a credible fiscal anchor, one which would limit debt servicing costs to a maximum of 10 per cent of revenue. Such fiscal discipline is necessary to preserve the government’s capacity to fund programs Canadians rely on and not leave future generations with an excessive and unfair financial burden.   

• Energy transition: It is critical that the government move forward with commitments it made in Budget 2023. They include outlining a concrete plan before the end of the year to speed up the regulatory process for major projects. In addition, the government must implement the incentives it announced to accelerate the energy transition. These measures will help reduce Canada’s emissions and foster economic growth for the benefit of all Canadians.   

Recognizing the essential role of private sector investment in creating jobs and economic opportunity as Canada charts a path toward a more prosperous and sustainable future, the letter to Freeland concludes with a call for partnership: “Please be assured that Canadian business leaders will do their part and support your efforts to meet the moment.”