2009 Federal Budget Good to Tourism

Picture by Kathy Gurholt
At no other time in recent memory has a Canadian federal budget been more anticipated or discussed. In our form of government – based on the British parliamentary system- governments rise and fall on money bills and the annual budget is the biggest. This is especially true if the government is in minority, which means that, while the opposition parties do not have enough seats to govern, if they vote together they have more members. And while some may argue that going into debt is not a great way to help the economy (my credit card bill demonstrates this!) the Tourism Industry Association of Canada (TIAC) is overjoyed.
On examining the yesterday’s budget TIAC President Randy Williams said, “The government’s new investments in Canada’s tourism sector announced in today’s federal budget will provide stimulus to the industry in these challenging economic times, and will help address several longstanding competitiveness issues facing our industry.”
What this means to Canadian tourism in dollars and cents is this:
- $40 million over two years to the Canadian Tourism Commission ($20 million for domestic marketing and$20 million for emerging markets)
- ?$100 million for marquee festivals and events over two years
- $150 million for Canada’s national parks system over two years ($75 million for visitor facilities and $75 million for national historic sites)
- $25 million to create new hiking trails across the country
- $407 million for improvements to passenger rail service in the Montreal to Toronto corridor operated by VIA Rail
- Additional funding of projects which will assist in the development of vital tourism infrastructure
- ?$24 million over two years for cruise ship tourism
- $60 million over two years for local and community cultural and heritage institutions (i.e. theatres and museums)
- $140 million over five years for Northern Economic Development , a substantial portion of which will be directed towards tourism projects.
Williams went on to say that, “These investments will help to improve product animation – or the way we deliver experiences – of some of
Canada’s most important tourism destinations, and will provide both international and domestic travellers with even more compelling and urgent reasons to visit Canada.”
“Moreover, the additional marketing dollars allocated to the CTC will allow the country’s national destination marketing organization to promote these new and improved tourism products to potential visitors from traditional and emerging economies of the world.”
What this means is that there will be help for Nova Scotia’s more than 6500 tourism businesses that employ over 40,000 people. This is not including the multiplier effect for the suppliers to the industry, rthe ones who provide the products to feed, house and entertain our travellers, contribute payroll and business taxes.
I hope that the money is effectively put to use and stimulates the economy by encouraging travelers to visit.
The Canadian Tourism Council is excited about the influx of badly-needed funds for tourism infrastructure, transportation and marketing, items that have been ignored for the last ten years. I guess we’ll have to wait and see.
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