PRIME
MINISTER UNVEILS NEW COMMUNITY DEVELOPMENT TRUST TO HELP CANADIANS ADJUST
TO GLOBAL ECONOMIC VOLATILITY
New
Brunswick becomes the first province to sign on to national program that
will create new opportunities for vulnerable communities and laid-off
workers
Fredericton,
NB
– Prime Minister Stephen Harper, joined by New Brunswick Premier Shawn
Graham, today announced that the Government of Canada will provide New
Brunswick with $30 million as part of a new national Community Development
Trust designed to help provinces and territories assist communities and
workers suffering economic hardship caused by the current volatility in
global financial and commodities markets.
“The
Government of Canada will assist vulnerable communities and laid-off
workers by investing $1 billion in the Community Development Trust,”
Prime Minister Harper said. “This is a major new national initiative
under which our Government will support provincial and territorial efforts
to build a stronger, better future for communities and workers who have
been hurt by international economic volatility.”
The
Prime Minister and the Premier made the announcement at the Marwood lumber
mill, just outside Fredericton. New Brunswick’s forest industry has been
particularly hard hit by exchange rate fluctuations and turmoil in the
U.S. housing sector.
“These
are indeed difficult times for the forest industry, workers and
communities right across Canada. Forestry has long been the engine that
drives the New Brunswick economy and the recent downturn has hurt our
province,” Premier Graham said. “We must find ways to diversify our
economy and move away from the concept of one industry towns. We are
hopeful that today’s announcement will help us achieve those goals and
we are pleased that the Prime Minister and his Government have made this
commitment.”
The
New Brunswick Government has identified several measures that will help
move the province toward this goal, including:
-
Supporting economic adjustment in hard-pressed communities such as Dalhousie, Bathurst, Miramichi and others.
-
Funding research and development related to innovative uses of engineered wood, biofuels and energy efficiency.
-
Analyzing the New Brunswick forest industry’s competitive position in world markets.
-
Examining opportunities for supplying natural gas to northern communities in order to lower industry energy costs.
-
Accelerating opportunities in the mining sector.
The
Community Development Trust will be funded out of the 2007-2008 budgetary
surplus. The Trust will have a three-year lifespan starting as soon as
Parliament approves the required budgetary legislation. A base amount of
$10 million will be allocated to each province and $3 million to each
territory. The balance of the funding will be allocated on a per capita
basis.
“The
program is aimed at one industry towns facing major downturns, or
communities plagued by chronic high unemployment, or regions hit by
layoffs across a range of sectors,” said Prime Minister Harper. “Among
other things, it will support job training to create opportunities for
workers in sectors facing labour shortages and community transition plans
that foster economic development and create new jobs, and infrastructure
development that stimulates economic diversification.”
“Working
together, Ottawa and all the provinces and territories can turn the
economic challenges we face today into economic opportunities for all of
us tomorrow,” the Prime Minister concluded.
