The absence of minimal infrastructure is a powerful obstacle to the development of First Nations. It slows down their contribution and their full integration into the country’s economic activity, even though they represent 5% of the Canadian population, but contribute to only 2.5% of the national GDP. A situation that is starting to change, but still too slowly. We need to quickly pick up the pace.
A study of the Royal Bank’s economic services released Wednesday reminds us that Canadian indigenous communities still suffer from a totally unacceptable infrastructure deficit compared to the rest of Canada.
Because they live in remote areas, many Indigenous populations have limited access to building materials and, primarily in the North, are twice as likely to live in crowded housing as other groups of Canadians.
The majority of Indigenous people living on reserves do not have access to high-speed internet, which limits their access to higher education and economic opportunities, the study highlights.
There is a gap of almost six percentage points between the participation rate of indigenous people and that of non-indigenous people of working age, aged 25 to 54, while more than 17% of the indigenous population did not participate to the active population in 2022 compared to 11% among non-Indigenous people.
However, Royal Bank economists indicate that in this period of labor shortage and population aging, Aboriginal communities have a clear advantage since 40% of their population is under 24 years of age, compared to 25% for non-natives.
In fact, the Royal study concludes, if indigenous populations benefited from adequate infrastructure and were able to display an employment and participation rate equivalent to those of non-indigenous populations, indigenous production would increase by 17%. and would add half a percentage point to the potential output of the Canadian economy. Which remains quite significant.
To achieve this, however, according to the Assembly of First Nations, Canada would need to invest some 350 million in infrastructure work by 2030…
Projects in progress
The full contribution of First Nations to the Canadian and Quebec economy is essential to the reconciliation efforts that have been put in place in recent years to restore centuries of injustice and unequal relationships between the founding peoples of the country. .
Especially at a time when political and economic actors in Quebec are calling upon the territories of many First Nations like never before to carry out their energy self-sufficiency projects and the development of critical mining sectors.
On Wednesday, the Cree Nation government, together with the Abitibi-Témiscamingue Cree Nation Economic Alliance Secretariat, completed two days of discussions and meetings which mobilized more than 300 economic players – indigenous and non-indigenous – from Abitibi. and James Bay.
The goal of this meeting was to establish and share a major economic development strategy that brought together communities from across Quebec, including the Innu of Mani Utenam, the Attikameks and the Anishinabe.
It was an incredible gathering. There was a desire to participate in all kinds of projects that involve all the communities in the Abitibi and Jamésie region. It’s like a thaw after the pandemic.
Chantal Hamelin, Director General of the Secretariat for Economic Alliances Cree Nation Abitibi-Témiscamingue
During the day on Wednesday, more than 300 networking meetings between non-Indigenous and Indigenous companies took place and 11 non-Indigenous companies, including several mining companies and others such as Desjardins Entreprises, Stantec or WSP, committed to doing more business with First Nations communities.
The regional summit was also an opportunity to announce a joint investment by the Quebec and Canadian governments of 57 million to secure the Billy-Diamond road which connects the towns of Matagami and Radisson, which will soon be connected to the cellular network thanks to a agreement between the Eeyou communications network and Hydro-Québec.
We are talking here about a critical infrastructure which was necessary and expected by all the families and all the workers in the Jamésie region who have to travel on the 620 kilometer road which had no cellular coverage.
Just like the action taken Tuesday by Hydro-Québec which planted a first electrical pole in the community of Kitcisakik, just south of Val-d’Or, a community of 400 inhabitants which still does not have electricity nor running water.
Connection to the electricity network should be done in 2025.
As we can see, there is still a long way to go for Indigenous communities to benefit from suitable infrastructure that allows them to develop their full potential.
We are thinking in particular of the Grande Alliance project promoted by the government of Quebec and the Cree Development Corporation which plans the construction of a railway linking Matagami to kilometer 257, located further north, to give access to the numerous mining companies which are located in the region.
It is by investing and building bridges with them that the various indigenous communities of Quebec will be able to better participate in economic development, better benefit from it and better benefit the economy as a whole.