Ottawa splits B.C. from Prairies for new dedicated economic agency
Aim is to provide more local support for federal recovery rollout, minister says
B.C. is getting its own dedicated economic development agency, with a plan for a boosted budget and offices throughout the province, according to the federal minister responsible.
Economic Development Minister Melanie Joly said Ottawa will separate B.C. from the Western Economic Diversification organization it currently shares with Alberta, Saskatchewan and Manitoba. A new B.C.-focused agency will be launching with details in coming months, she said.
The move comes after a series of meetings with local businesses, chambers of commerce and entrepreneurs in which Joly said it was evident B.C.'s economy had diverse needs from other provinces and that Ottawa had an unacceptably low public profile there compared with other regions.
“Based on that wanting to be more B.C.-specific, being ready for the recovery plan rollout, and making sure that businesses and people in B.C. have equal access and equal chances to have access to this support, we need to have a new economic development agency for B.C.,” Joly said Tuesday.
“The idea is to have more support on the ground. Right now there's only one office for Western Economic Development in Vancouver. That's why it is important to be there and then follow up with entrepreneurs that are on site, in the Interior or on ( Vancouver) Island to make sure we can then help them invest in their companies and grow their business and employ even more people.”
The dedicated economic development agency could have financial implications for the province because the regional agencies have distributed hundreds of millions of dollars in COVID-19 aid on behalf of the federal government since the pandemic began.
The western diversification agency has paid $106 million in COVID-19 aid to B.C., which is earmarked for local federal offi
cials to offer repayable loans to businesses that might not otherwise qualify for the main federal pandemic assistance programs.
The last time Ottawa created a new economic development agency was after the 2009 global recession, with the creation of the Federal Economic Development Agency for Southern Ontario.