Honourable senators, I rise today to join debate on Inquiry No. 13, which calls the attention of the Senate to the ongoing business and economic contributions made by Indigenous businesses to Canada’s economy.

I would like to thank Senator Klyne for initiating this important discussion, which allows senators to highlight the critical and oftentimes overlooked contributions that First Nations, Inuit, Métis and non-status peoples and businesses make to Canada’s economic well-being.

As a senator representing Manitoba, it is with great pleasure that I rise to highlight the contributions that First Nations, Métis, Inuit and non-status peoples and businesses bring to Manitoba’s provincial economy.

The information I will largely draw from is presented in a 2019 report entitled, Indigenous Contributions to the Manitoba Economy. This comprehensive report, spanning more than 250 pages, was completed through a partnership of Manitoba’s Southern Chiefs’ Organization Inc., the Manitoba Keewatinowi Okimakanak Inc. and Brandon University’s Rural Development Institute.

As the report states, its objectives are, in part:

To quantify spending amounts by Indigenous and First Nations people in Manitoba in order to calculate their contribution to the provincial economy.

And:

To create projections of Indigenous population and labour force.

Honourable senators, it is important to note that Indigenous contributions in the economic sector are hardly new or emerging. Rather:

First Nations and Inuit peoples had established trade networks and other hallmarks of market economies in North America well before the arrival of Europeans.

Post-contact, the economy of Manitoba was established by First Nations and Métis hunters and traders who were responsible for driving the provincial economy via the fur trade. However, post-contact colonial economic systems quickly became entrenched across the nation, most of which were created and discharged in ways that explicitly excluded or minimalized First Nations’ ability to participate and contribute within the economic forum.

This has been well-documented and should not come as any surprise, as the restrictive nature of several pieces of critical legislation including the Indian Act, the First Nations Fiscal Management Act and the First Nations Land Management Act have all caused undue burdens when First Nations have attempted to take advantage of economic opportunities or initiate projects of their own volition.

In 2022, the House of Commons Standing Committee on Indigenous and Northern Affairs, or INAN, released their second report entitled Barriers to Economic Development in Indigenous Communities. I encourage my honourable colleagues to review this report as it gives a concise overview of the many systemic barriers, be they social, administrative or legislative, that often preclude a more robust involvement of First Nations, Inuit, Métis and non-status peoples in Canada’s economy.

In giving a very high-level indication of these myriad barriers, the INAN report reads:

Overcoming barriers to economic development in Indigenous communities would help achieve economic reconciliation and better socioeconomic outcomes for Indigenous peoples. These barriers continue to prevent many First Nations, Inuit and Métis communities and businesses from fully participating in the Canadian economy. Barriers to Indigenous economic development include the legacy of colonialism, the failure to recognize Indigenous jurisdiction, inadequate infrastructure, administrative burdens, limited access to capital, and limited access to federal procurement opportunities. . . .

However, colleagues, the unflinching resilience of First Nations peoples have enabled them to adapt to the new and changing economic conditions they face. First Nations entrepreneurs continue to emerge, oftentimes undertaking work that has a dual purpose of providing economy while also elevating their cultures and traditions.

Additionally, First Nations communities are becoming increasingly adept at entering into strategic partnerships with various governments or industries that serve to open the door for communities to establish viable pathways to own-source revenue.

The 2019 report entitled Indigenous Contributions to the Manitoba Economy states:

Indigenous leaders are increasingly embracing and expressing the perspective that success in economic development requires replacing the current economic development approach. All too often, the current approach involves others imposing a development agenda. Here development is framed in purely economic terms such as more jobs, higher educational attainment, and increased income levels. However, for many Indigenous leaders and communities, a more holistic approach is preferred—an approach in which the primary value of economic development is in providing a means to reinvest in the cultural life and social services of the community for the benefit of all. . . .

And I will speak to this in my speech under consultation:

An Indigenous-designed approach to economic development is emerging that emphasizes community success over individual success and improving the lives of everyone over enabling economic disparity. This approach encompasses an outlook that is inclusive of community and aligns with Indigenous cultures.

Accordingly, colleagues, we can start to gain an appreciation for the fact that the economic contributions of First Nations, Inuit, Métis and non-status people in Canada are much more far‑reaching than many would suspect. It goes well beyond the dollars and cents of their individual and collective purchasing power or the valuation and profits of their businesses or the number of jobs they create or sustain. The contributions that our people bring to Canada’s economy are starting to impact for the better the core values and principles that these businesses and systems are built on.

Honourable senators, when examining the impact that Indigenous peoples have on Manitoba’s provincial economy, it is first helpful to get a sense of the population sizes. As of 2016, in Manitoba’s north, there was a population of 52,350 comprising First Nations, Inuit, and Métis peoples. In Manitoba’s south, there was an Indigenous population of 170,959, which is a combined population of 223,310.

For spending consideration, it is helpful to break these populations into households:

In the North, there are an estimated 10,980 households with 27% . . . off reserve. In the South, there are an estimated 52,675 households with 85% . . . off reserve.

In total, household spending by Indigenous people in 2016 is $1,378.8 million. Indigenous households spend $493.4 million in the North . . . . In the South, household spending totalled $885.4 million . . . .

To put these numbers into perspective, colleagues, Manitoba has these results:

Economic impacts from First Nations household spending of $1,378.8 million in 2016 contributed $99.1 million toward provincial GDP, created or maintained 691 jobs, and produced $38.7 million in labour income. . . .

Honourable senators, we can further consider an additional metric by which First Nations, Métis, Inuit and non-status peoples further contribute to Manitoba’s economy based on the expenditures of Indigenous governments.

The Indigenous Contributions to the Manitoba Economy report classifies Indigenous government spending as:

. . . remuneration, expenses, and other spending presented in financial statements by First Nations governments, Tribal Councils, and Métis and Inuit organizations. . . .

In the 2015-16 fiscal year, Indigenous government spending totalled $1.45 billion, with the north accounting for 47% and the south accounting for 53%. The impact of this spending on the Manitoba economy is considerable, as that $1.45 billion in spending resulted in an impact of $953.2 million to the GDP while creating or maintaining the equivalent of 19,821 jobs and contributing $643.3 million in labour income to the greater Manitoba economy.

Colleagues, beyond the spending occurring in Manitoba by Indigenous households and governments, a further metric by which First Nations, Métis, Inuit and non-status peoples also contribute to Manitoba’s provincial economy is via Indigenous businesses. This metric considers more mainstream business endeavours ranging from tourism to construction. However, it also considers estimates from more traditional economic activities such as hunting, fishing and trapping. As it pertains to these mainstream businesses, in 2016 Manitoba boasted 706 total Indigenous businesses with 87 located in the north and 619 located in the south.

The report estimates these 706 Indigenous businesses collectively spent $6 billion in 2016. This spending contributed $1.1 billion to Manitoba’s GDP, 13,688 Manitoba jobs and labour income of $566.4 million.

Honourable senators, to sum up these various findings of the report, in 2016 First Nations, Métis and Inuit peoples and businesses spent $9.3 billion. They contributed $2.3 billion to Manitoba’s GDP, representing almost 4% of the provincial GDP. Their spending created or maintained over 35,700 jobs, representing 5.6% of jobs across the province. They provided $1.1 billion in wages and salaries to workers, while also contributing $231 million in taxes — 43% going to the provincial government and 57% going to the federal government.

These numbers, colleagues, are formidable. They also represent the tip of the iceberg when considering the potential room for growth in these various areas of Indigenous contributions to Canada’s economy.

As highlighted in the 2022 Standing Committee on Indigenous and Northern Affairs, or INAN, report, multiple, profound barriers to entry still exist for First Nations, Métis, Inuit and non-status people in these arenas.

The growth prospects in Manitoba specifically are unlimited as more opportunities present themselves, particularly given the fact that the Indigenous population is younger than the overall Manitoba population. As such, the Indigenous population is and will remain critical to realizing future economic prospects of both Manitoba and Canada.

Honourable senators, sustaining the momentum First Nations, Inuit, Métis and non-status peoples are achieving via their various economic contributions is critical. The best and most effective path toward unleashing the full potential of Indigenous economic contributions to —