US Inflation Reduction Act | Freeland says provinces should contribute to Canada’s response

(Toronto) Deputy Premier and Finance Minister Chrystia Freeland said provinces and territories should help Canada’s response to the US Cut Inflation Act, which includes vehicle incentives electric cars that favor automakers in Canada and Mexico, as well as the United States.


Speaking after a face-to-face meeting with provincial and territorial finance ministers in Toronto, Mr.me Freeland said the act created an economic opportunity that Canada must seize in order to secure a large share of the clean economy of the century.

Mme Freeland said the investments needed for health care and the investments needed for the transition to a clean economy put two big pressures on the federal budget.

According to her, it is clear that the federal government must invest in health care. She reiterated the government’s commitment to do so, but did not say whether she thought the amount the provinces are asking for in increased transfers for health was realistic.

Mme Freeland noted, however, that these pressures come at a time of a global economic downturn that is imposing restrictions on government spending.

The meeting of finance ministers comes at a tense time for many Canadian consumers, as inflation remains high and interest rates are much higher than they were a year ago.


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