Budget 2023 includes measures to attract and retain business investment but the government’s worrisome fiscal position risks undermining long-term economic growth.

“The targeted investment tax credits reflect a recognition of the need to improve Canada’s competitiveness in the low-carbon economy and respond to global pressures, notably the Biden Administration’s Inflation Reduction Act,” said Business Council of Canada President & CEO Goldy Hyder.

Budget 2023 also commits the government to outlining a concrete plan to improve the efficiency of the impact assessment and permitting processes for major projects. “Expedited approvals are essential to building a low-carbon economy,” added Hyder. “The irony is it’s taking the government far too long to come up with a plan to fast-track projects in the national interest.”

Mr. Hyder said he was disappointed the government has opted to abandon its own fiscal anchor. “Canadians were promised fiscal restraint, but instead this budget increases the national debt burden at a time of higher interest rates. More of every taxpayer dollar will now have to go towards servicing the debt.”