The Economic Prosperity Agenda is designed to position Canada as a global leader by addressing critical issues such as the cost of living, job creation, and improving productivity. Central to this agenda is the commitment to curbing federal spending while fostering sustainable economic growth.
Over the past decade, Canada has witnessed the federal debt double to $2.1 trillion CAD, alongside a 40% increase in the size of the federal workforce. This trajectory of rapid spending and growing debt is unsustainable. After nine years of overspending, the Prosperity Agenda aims to rein in government expenditure while focusing on initiatives that expand Canada’s economic potential, rather than looking for ways to distribute pieces of an ever-shrinking pie.
In addition to ensuring fiscal responsibility, the Economic Prosperity Agenda has two other objectives: safeguarding Canada’s national interests in the face of external threats while ensuring Canada is prepared to lead into the future with long-term, sustainable and robust economic growth.
A Commitment to Canadians
I believe in the potential of Canadians and am committed to investing in the Canadian workforce and the industries that drive our economy. With a strong background as a business leader who grew an organization from 3 employees to 1,000, and as a lifelong Liberal with experience in government as a former Member of Parliament, I understand both the private sector and the workings of the public sector. This dual perspective means I can bridge the divide between government policy and industry needs, ensuring that both sectors work in tandem to benefit Canadians.
Addressing the Cost of Living
The rising cost of living in Canada, including unaffordable housing and soaring grocery prices, is putting increasing strain on households. Even prior to the threat of tariffs from the United States, these issues had already reached a critical point, making everyday essentials less accessible for many Canadians. The Consumer Price Index (CPI) for 2024 showed a 2.9% increase, the highest since 2011, excluding the pandemic years (2021-2023). This inflation is partially due to inefficient government spending and a failure to invest Canadian resources effectively.
Canada’s productivity rate is a significant concern, with the Organization for Economic Cooperation and Development (OECD) noting that in 2022, Canadian productivity was only 72% of American levels. This disparity reflects an economy that is underperforming relative to its potential. However, Canada possesses the talent, intellectual capital, and resources to reverse this trend and create a more prosperous future.
- Promote Productive Growth: We will ensure that Canada maintains a regulatory environment that fosters growth and innovation, avoiding unnecessary restrictions on businesses. By providing incentives for investment in training and equipment, as well as maintaining competitive corporate tax rates, we can improve productivity.
- Invest in Education and Innovation: Education is the cornerstone of long-term prosperity. To secure our future, I will advocate for increased funding for universities, ensuring they remain world-class institutions. Moreover, we will support innovation and start-ups to help Canadian industries thrive at home, thereby enhancing our economic resilience.
- Capital Projects for Job Creation: We will invest in large-scale capital projects, including social housing, rail projects, and expanded public transit. These initiatives will create thousands of jobs while improving infrastructure to meet the needs of a growing population.
Fiscal Responsibility
Canada’s federal workforce has expanded by 40% over the past decade. This growth in government is unsustainable and inefficient. I am committed to bringing government spending under control and eliminating the $62 billion deficit recorded in the previous year. The timeline for deficit elimination will be determined after thorough consultations with the Parliamentary Budget Officer and after gaining access to the complete budgetary information.
Going forward , our focus will be on prudent spending, aligning resources to areas that contribute to national prosperity, and reducing inefficiencies that contribute to inflation and a weakened currency.
Energy Security and Critical Mineral Resources
Energy independence is crucial for Canada's long-term prosperity. I have already committed to working with Canadians across the country to approve and build infrastructure for the transport of Alberta’s liquefied natural gas (LNG) to European and Asian markets. This strategic move will diversify our energy export markets, reducing our dependence on the United States and bolstering our economy.
Moreover, energy security extends beyond fossil fuels. We will prioritize the integration of Canada’s electrical transmission grid, as well as investments in nuclear energy and renewable sources such as wind and solar. These initiatives will not only enhance our energy security but also create new economic opportunities in clean energy.
Canada is also rich in critical mineral resources, including rare earth elements, which are vital for global technology and energy transitions. The market value of critical minerals is expected to double by 2040. As such, we will invest in infrastructure and research to ensure that Canada is positioned as a key supplier of these resources, fostering both economic growth and national security.
National Prosperity Fund
Canada’s wealth in natural resources has not been effectively harnessed to ensure long-term economic stability. Much of the revenue from these resources is currently used to finance deficits rather than invest in the future. To address this, I will establish a National Prosperity Fund (NPF), which will:
Preserve Resource Revenues: Set aside a portion of the revenues from Canada’s natural resources, including oil, gas, and critical minerals, to create a sovereign wealth fund for future generations.
Invest for the Future: Invest the NPF in green technologies, emerging industries, and global markets, ensuring that Canada’s resource wealth contributes to long-term prosperity rather than short-term fiscal needs.
The NPF will ensure our natural resource wealth is preserved, invested wisely, and used for the long-term benefit of all Canadians. Other nations like Norway, Singapore and Chile, have successfully built sovereign wealth funds to secure their economic futures. It’s time we did the same.
Military Procurement and Strategic Investment
As Canada seeks to align itself with NATO commitments and address the shifting global security landscape, it is imperative to invest strategically in our defense capabilities. Military procurement is not just about ensuring our forces have the best technology, but also about fostering innovation and strengthening our domestic manufacturing industries. In a rapidly changing geopolitical environment, where security threats are becoming more diverse and unpredictable, Canada must ensure that its defense sector is not only adequately funded but also positioned to advance the next generation of military technology.
This is why I am committed to increasing military spending to meet our NATO obligation of 2% of GDP, ensuring that we maintain the necessary resources for our defense and security
However, this commitment to increased defense spending goes beyond just the financial aspect. As part of an overall Economic Prosperity Agenda, it is crucial that Canada maximizes the benefits of its procurement processes by prioritizing domestic suppliers and investing in Canadian businesses. This approach will foster innovation, create high-paying jobs, and develop Canada's technological and manufacturing capabilities. By ensuring that a significant portion of military procurement is sourced from Canadian companies, we will bolster the country's defense autonomy, reduce reliance on foreign suppliers, and stimulate economic growth within our borders. Canadian companies and defense manufacturers must be given every opportunity to compete for contracts, enabling them to contribute to national security while strengthening Canada's defense industry.
To further strengthen Canada’s military capabilities, I will propose the creation of a Canadian Agency for Advanced Research in Defense (CAARD). This agency would focus on researching and developing cutting-edge military technologies, ensuring that Canada remains at the forefront of defense innovation. The CAARD would also serve to facilitate collaboration between the government, Canadian defense contractors, and academic institutions, fostering a thriving defense industry ecosystem. By integrating advanced research with procurement, Canada can ensure that its military is equipped with state-of-the-art technology, while also generating long-term economic benefits.
Through intelligent procurement, Canada’s military can drive technological advancements that not only support national security but also position Canadian businesses as global leaders in defense and high-tech sectors.
Conclusion
The world is changing, and Canada must not be left behind. Through strategic investments in education, innovation, infrastructure, and trade, alongside a commitment to fiscal responsibility and national security, Canada can achieve long-term prosperity. By leveraging the wealth from our resources and using our defense procurement to stimulate innovation, Canada will not only catch up, but will lead in the global economy of the future.
Together, we will make Canada Proud and Prosperous.