Deputy Prime Minister and Treasury Minister Chrystia Freeland has a government plan to address the issue of inflation and living costs Address at noon In Toronto on June 16th, we detailed our $ 8.9 million spending based on our already announced commitments.
Freeland said the federal government is helping build more homes to address the issue of affordable homes. Providing more affordable child care. Focus on fiscal restraint. Enables middle class employment expansion. Provide direct assistance to Canadians.
The $ 8.9 billion required spending had already been allocated to the previous budget, Freeland said. These measures include:
- Increase the profits of Canadian workers by $ 1.7 billion and return $ 1,200 to individuals on tax returns.
- More money for affordable learning and infant care.
- An increase of $ 766, a 10% increase in Old Age Security (OAS), will bring 3 million seniors over the age of 75.
- $ 500 payments to nearly one million low-income Canadians for housing.
- Free dental treatment for those with an annual income of less than $ 90,000, starting with children under the age of 12 this year. When,
- Higher payments for OAS, guaranteed income supplements, Canadian pension schemes, Canadian children’s allowances, and GST credits by indexing inflation.
Before addressing common concerns, Freeland advertised Canada’s record low of 5.1% unemployment and a G7-leading recovery rate of 117% for lost employment during the pandemic.
“But if the data is very rosy, that is, if the rebound is very strong, why don’t we feel so good? Why are Canadians so worried here? Everyone knows the answer: inflation, “Freeland said.
Expecting conservative leadership, Pierre Polyevre criticized the Bank of Canada and the Liberal Party government for not curbing inflation. Freeland did not mention Poilievre, but her comments provided a response.
“This is a global phenomenon, caused by factors that a single country is not responsible for and a single country is unable to isolate itself,” Freeland said.
“It is highly irresponsible, not to mention economically illiterate, to undermine Canada’s basic institutions, including the Bank of Canada, during this period of global economic and political instability. . “
Freeland said federal investment in skilled workers would help the supply chain and prosper more Canadians. She also said that agreements had been reached with all states on early learning and childcare.
“In summary, immigration, housing, skills and childcare are clearly social policies, but they are also economic policies,” Freeland said.
“This set of measures will help promote our continued economic growth in a way that fights inflation by increasing the supply of workers and homes that we do not have enough.”
Freeland expressed hope that the Canadian Growth Fund and new institutions for innovation could help tackle the productivity challenges of Canada’s Achilles heel. “
Freeland, a board member of the World Economic Forum, said all countries have experienced “the most serious economic changes since the Industrial Revolution.” She said the post-Cold War world order, which began in 1989, ended when Russia invaded Ukraine on February 24.
“The dramatically changing world offers Canada a historic opportunity tomorrow and for the next few years … The future of the global economy is the size of the armed forces, the rigors of censorship, and their natural gas reserves. The amount will allow them to act exempt. “
Despite promising fiscal restraints, Freeland did not rule out more spending.
“Now, given the uncertainty of the global economy, is it wise for me to stand here and eliminate the need for further support in the future? Of course not,” she said.
Following Freeland’s speech, Finance Minister Dan Albas and Minister of Innovation, Science and Industry Gerard Deltel issued a statement suggesting that it was another form of the same policy that caused inflation in the first place.
“The Liberal Party of Canada is facing a crisis of living costs due to Trudeau’s flawed tax and spending approach,” the statement said.
“This flawed economic approach eats up the income of hard-working Canadians and ignores the most basic principles of economics. Spending during the inflation crisis only furthers inflation. Still, Liberals continue to follow this path with reckless abandonment, causing further inflationary pain to Canadians. “