Details scarce on how Indigenous loan program will work, says business group

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Anishnawbe Business Professional Association wants values-based, politics-free program that achieves reconciliation

The unveiling of a federal Indigenous loan guarantee program is a “positive commitment” toward helping First Nation communities invest in the natural resource sector, said the president of the Anishnawbe Business Professional Association .

The federal government had promised in last year’s fall economic statement that the long-called-for program would be included in the spring budget. But, as with last November’s document, details still remain scarce on how the program will work. The program will help First Nation communities invest in energy, mining and forestry projects, and facilitate ownership in natural resource-related facilities and infrastructure. A loan guarantee helps entrepreneurs with access to capital and protects lenders from potential default as the federal government will pay the bill should the borrow default.

“We need the loan guarantee program to enhance and support Indigenous communities looking to participate in various sectors at different financial thresholds of resource development and ownership of enabling infrastructure like corridors and facility ownership.”

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