Finance Minister Chrystia Freeland launched the government’s fall economic statement Tuesday by revealing two “key challenges” it hopes to address.
Freeland, who is also deputy prime minister, spoke about the fall economic statement during a housing announcement in Toronto.
The 2023 Fall Economic Statement — a financial update of the government’s economic plan — will be presented to the House of Commons on November 21.
“Next Tuesday, I will present our government’s fall economic statement. Our fall economic statement is based on a responsible fiscal plan that allows us to invest in what Canadians need now,” Freeland told reporters.
“That’s why the fall economic statement will focus on two key challenges: making life more affordable for Canadians and taking other concrete steps on housing. We know that this is an urgent priority for Canadians, and we believe that supply, supply, supply is at the heart of this problem.
Canada’s housing crisis has been fueled by a years-long surge in demand and a shortage of inventory, leading to rising prices in many markets.
Minority liberals recently touted the Housing Acceleration Fund, a program designed to incentivize cities to submit applications for federal funding tied to zoning changes.
They promised a $4 billion fund during the 2021 election campaign. The money was allocated to the Canada Mortgage and Housing Corporation in the 2022 federal budget, with the aim of adding at least 100 000 new homes across the country over five years. However, the first deal was not announced until September, with London, Ontario, the beneficiary.
Other Ontario cities, Brampton, London, Vaughan and Hamilton, as well as Halifax and Kelowna, have all signed agreements with the federal government.
In fashion now
Ottawa faces pressure to avoid spending, which could make it harder to continue reducing inflation. The Liberals are trying to tackle both the housing crisis and significant affordability issues, and halt the current decline in polls, while trailing the Conservatives in many regions from the country.
The Bank of Canada helped ease some pressure on Oct. 25 by holding its benchmark interest rate for a second straight decision, but with the economy still showing signs of weakening, Ottawa will be under pressure to show officials that they seize the moment and have a plan. Before.
Bank of Canada Governor Tiff Macklem expressed his own concerns late last month about the pace of government spending. After holding rates steady on Oct. 25, he said projected fiscal spending plans at all levels of government “are not helpful” in controlling inflation.
– with files from Sean Previl and Uday Rana of PKBNEWS
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