Liberals rejig $15B toward new business investment fund

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The Trudeau Liberals are promising to create two new arm's-length bodies to handle billions in federal funds to prod businesses to invest in themselves.

The measures unveiled in the 2022 federal budget would see $15 billion over five years put into a fund designed to alleviate risks for private companies to make it more palatable to spend on research and technology.

The fund would be set up over the next year with the first investments expected in the ensuing 12-month period under the projections set out in the budget. The fund and a sister agency to help commercialize new discoveries add to the handful of arm's-length agencies the Liberals have created over the years, which experts say have a mixed track record.

"It's another attempt at doing that and I guess the proof of the pudding will be in the tasting, in terms of how good it is." He said the government should take a sectoral approach to funding, as opposed to one that provides subsidies to firms, to make sure the money makes an impact.

 

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