Canada faces an estimated $400 billion infrastructure deficit that must be addressed if we are to grow our economy and support Canadians’ standard of living. The Canadian Life and Health Insurance Association (CLHIA) released a report, Get it Built: Fostering Economic Growth and Prosperity Through Enhancements to Canada’s Long-term Investment Market, making recommendations on how businesses and governments can work together to build the infrastructure this country needs.
“From the hospitals that heal us to the bridges that link us, a robust infrastructure system is critical to economic growth and to maintaining Canadians’ standard of living,” said Frank Swedlove, president of the Canadian Life and Health Insurance Association (CLHIA), a voluntary association whose member companies account for 99 per cent of Canada’s life and health insurance business. “Canadian life and health insurers have $540 billion in long-term assets in Canada. We are prepared to work with governments to invest in infrastructure and get these projects built.”
The report notes that it is vital for governments to commit to working with the private sector to make sure these important projects continue to get built. It recommends a number of steps that provincial governments and the federal government can take to stimulate financing:
- Governments should create a dedicated agency to assist in funding infrastructure
- Federal and provincial governments can help municipalities more easily access private investment dollars to finance their infrastructure requirements
- Governments should issue more 50-year bonds to help finance infrastructure projects
- Governments need to ensure that the regulatory and accounting regimes support a robust long-term investment market
To read the full report, visit http://www.clhia.ca/get-it-built