Last week the Conservative government tabled – Canada’s economic action plan to stimulate the economy and protect the country during the current global recession.
“While Canada is coping with a global economic downturn better than most industrialized countries, our government has tabled a plan to help Canadians through this downturn,” said Wellington-Halton Hills MP Michael Chong. “These targeted measures will build on Canada’s long-term strengths, while helping address short-term challenges. Even with the projected deficits, Canada will still be well ahead of other OECD countries in terms of our debt to [gross domestic product] ratio.”
The plan will provide almost $30-billion in support, equivalent to 1.9% of GDP, to the Canadian economy this year. Wellington County will especially benefit with plans to:
– build Infrastructure by providing Ontario with its share of $4.5-billion over two years for infrastructure projects such as road, water, and sewer system upgrades across the province. It also accelerates payments up to $75-million over two years for additional infrastructure projects.
– reduce taxes and freeze Employment Insurance rates by providing the people and businesses of Ontario with tax relief of $9.1-billion over the next five years and providing billions to keep Employment Insurance rates low for 2009-10.
– stimulate housing construction by providing billions to build quality social housing, stimulate construction, and enhance energy efficiency. The new renovation tax credit will provide up to $1,350 per homeowner, which will benefit Ontario homeowners by up to $1.3-billion over two years.
– improve access to financing for businesses to obtain resources they need to invest, grow, and create new jobs and give consumers the adequate financing they need.
– help Canadians hit hardest by the economic downturn, including enhancements to Employment Insurance and more funding for skills and training.
– support for businesses and communities by protecting jobs and supporting sectoral adjustments during this extraordinary crisis with $7.5-billion in extra support for sectors, regions, and communities such as the forestry and manufacturing sectors.
Chong said Ontario will also benefit from specific initiatives including more than $1-billion over five years for a Southern Ontario Development Agency program to help workers, communities and business in the region; $50-million to the Institute for Quantum Computing in Waterloo for the construction of a new world-class research facility; an additional $407-million to VIA Rail Canada to support improvements to the Quebec City to Windsor corridor; and a share of $2-billion to support deferred maintenance and repair projects at post-secondary institutions.
Chong added that in addition to those measures, Ontario will continue to receive historically high and growing federal transfers in 2009-10 that will total $15.8-billion – an increase of $1.5-billion from last year and a $4.3-billion increase over provision made by the former Liberal government.
In addition, Ontario will see growing health ($9.6-billion) and social ($4.2-billion) transfers to help the province pay for vital health care, educational and social services on which families depend.
“With this plan, Canada will emerge from this global recession with better infrastructure, a more skilled labour force, lower taxes, and a more competitive economy,” said Chong. “We are listening to Canadians. This is the plan Canadians wanted, and this is the plan that will help Canadians through this downturn.”
