“Get the shovels at the ready,” say financial analysts
January 28, 2009 | By Canadian Consulting Engineer
Infrastructure spending was high on the list of priorities in the federal budget that Minister of Finance Jim Flahe...
Infrastructure spending was high on the list of priorities in the federal budget that Minister of Finance Jim Flaherty delivered yesterday afternoon, January 27.
Tax specialists and economic advisors at PricewaterhouseCoopers were quick to respond. In its press release, the company proclaimed: “Get the shovels at the ready, $12 billion dollars in new infrastructure stimulus over the next two years.”
The response to the budget continued: “While not unexpected, the stimuli are intended to create jobs in the construction, engineering and manufacturing sectors along with economic spin-off activity hopefully leading to safer, greener and more modern infrastructure.”
PriceWaterhouse pointed out some highlights from the Budget:
$1 billion over five years for a green infrastructure fund
Up to $500 million over the next two years to accelerate infrastructure projects in small communities
$1 billion over two years to expedite new “ready-to-go” provincial, territorial and municipal projects
$4 billion over two years to restore aging infrastructure
$500 million over two years to Recreational Infrastructure Canada (RInC) to build and renew community recreational facilities
$2 billion for repair, maintenance and construction of post-secondary institutions
$750 million to the Canada Foundation for Innovation to support leading-edge research infrastructure
$50 million to the Institute for Quantum Computing for a new research facility.
The budget presented by the Harper Conservatives still has to be passed in Parliament and may be subject to changes due to pressure from the Opposition parties.