Yukon, N.W.T., Nunavut need more robust private sector: Canadian Chamber of Commerce

A new report from the Canadian Chamber of Commerce says a more robust private sector in the North would make for a stronger region and a more globally competitive Canada.

Susanna Cluff-Clyburne, the chamber's director of parliamentary affairs and the author of the report, says there are ways to shift the balance between the private and public sectors.

Those options include low-interest government-backed loans, restored mine training funding, and bringing an end to the federal practice of clawing back funding for aboriginal businesses whenever they make a profit

"The key recommendation we made based on our discussion with business people was the creation of what we've nominally called a territorial infrastructure bank," Cluff-Clyburne says. "This would be a means for the public and private sectors to co-operate on infrastructure projects."

Lack of infrastructure

The bank would be modelled on a similar approach being taken in Alaska, and the federal government would provide the funding. Private businesses could draw low-interest loans to plan and develop public infrastructure, such as roads, that also have a public benefit.

Lack of infrastructure is the number one hurdle facing resource development companies, says David Connelly, a consultant who counts mineral exploration companies among his clients.

"There's probably 20 deposits between here and the Arctic Ocean which in any normal allocation of infrastructure costs to each of the projects could bring them into production."