Business
Carney must kick-start private sector to strengthen sputtering economy

From the Fraser Institute
Prime Minister Mark Carney talks frequently of making Canada “the strongest economy in the G7.” That promises to be a tall order, which will require—among other things—advancing many more large-scale energy, mining and infrastructure projects in the next one to five years; streamlining Ottawa’s sclerotic project assessment and environmental permitting rules; and responding to recent tax policy changes in the United States, which have left Canada at a significant competitive disadvantage in attracting new business investment.
The challenges confronting Canadian policymakers are daunting. Carney has inherited a sputtering economy crippled by years of weak business investment, zero productivity growth and an increasingly unattractive business climate—and now the new threat of sweeping tariffs, courtesy of our principal trading partner.
During Justin Trudeau’s nine-plus years in power, the two primary motors of economic growth in Canada were an expanding public sector and an immigration-fuelled surge in the population. The first trend saw the federal government and many of the provinces spend and borrow with abandon, producing a near-term economic jolt but also adding to Canada’s mountain of government debt.
The second trend saw Canada post the fastest population growth of any advanced economy from 2016 to 2024, owing to outsized immigration. This also boosted the economy, since every newcomer creates extra demand for goods, services and housing. And many immigrants gain employment, enlarging the country’s workforce. However, Canada’s population growth since 2016 did little to increase prosperity and living standards on a per-person basis.
Now, Canada’s previous engines of economic growth have run out of gas.
While Carney has hinted at even bigger budget deficits than his notably spendthrift predecessor, in reality Canada is about to enter a period of fiscal austerity as governments are compelled—including by bond markets and credit-rating agencies—to rein in spending and tame excessive deficits. It’s hard to imagine that continued increases in the size of government can or will propel a struggling Canadian economy forward in the next few years.
As for population growth, the federal government’s revised immigration plan unveiled last fall aims to sharply reduce inflows of both permanent immigrants and “non-permanent” foreign residents. After a decade of rising immigration, Canada will experience the opposite over the next three years. As a result, the country’s population is poised to stall—and perhaps even slightly decline—after an extended stretch of steady growth. This sudden demographic shift will dampen economic growth, even as the Carney government muses about supercharging Canada’s stagnant economy.
Recent data from Statistics Canada confirms that the effects of Ottawa’s new immigration policy are starting to materialize. The population didn’t grow at all between the fourth quarter of 2024 and the first quarter of this year, reflecting both smaller inflows of new permanent immigrants and a drop in the size of the “non-permanent” resident population, in line with immigration targets announced last year.
With the population no longer increasing and governments under mounting fiscal pressure, the only way to grow the Canadian economy is to kick-start the private sector. That will require a different playbook than the one favoured by the Trudeau government over the last several years. Ottawa should now focus on improving the business environment to encourage companies, entrepreneurs and investors to deploy their capital and talents to build and expand businesses in Canada. Absent that, there’s little chance the prime minister will meet his goal of making Canada the G7’s economic star.
Business
No Ministers, No Progress, Opposition Corners the Liberals in Ottawa

Conservatives and the Bloc demand cabinet face the hot seat before C-4 moves forward and open an investigation into offshore billions
Here’s the story. The Liberals jammed through their so-called affordability bill, C-4. And they didn’t wait for debate. Instead, they used a procedural shortcut called a Ways and Means motion. What does that mean? In Ottawa, a Ways and Means motion is the tool the government uses to make tax changes legally binding the moment the motion passes in the House of Commons even before the bill has gone through committee hearings or votes in Parliament.
So right now, the tax hikes, credits, and changes in C-4 are already in effect. Canadians are paying under these rules today. Yes, MPs on the Finance Committee are “studying” the bill, they’ll hold hearings, hear witnesses, and go through it line by line in what’s called clause-by-clause review. That’s normally the stage where MPs can debate and amend legislation. But with C-4, it’s happening after the fact.
Think about that. Implementation first, scrutiny later.
But this week, the opposition finally said: enough. Conservatives and the Bloc forced a new rule: no clause-by-clause until the ministers show up. Finance, Housing, Environment. One hour each. Separate panels. No ministers? No progress.
Why did they have to do this? Because the government has been stalling for months, refusing to commit to dates. Instead of ministers showing up in person, Liberals kept offering up everyone but the actual decision-makers, deputy ministers, senior bureaucrats, even departmental staff. The excuse? The ministers were “busy” all summer on so-called budget consultations which mostly looked like taxpayer-funded travel and photo-ops. Bloc MPs literally laughed when Liberal MP Ryan Turnbull tried to pass that off as a defense. And they were right to laugh.
For once, bureaucrats don’t get to hide behind their bosses’ schedules. The ministers themselves now have to sit in the hot seat, face MPs directly, and explain their decisions.
And it gets better. The committee also voted to launch a probe into offshore tax havens, the globalist money-laundering operations where billions vanish every year while small businesses get crushed by CRA audits. Remember the Panama Papers? The Paradise Papers? We learned then that Canada’s so-called revenue agency cut sweetheart deals with the rich, let corporate giants off the hook for billions, while squeezing ordinary taxpayers for every penny. Well, now Parliament is going to drag this into the light. Six meetings minimum. Finance officials. CRA brass. The Parliamentary Budget Officer. Even law-enforcement experts in financial crime. Imagine that… accountability.
And of course, the Liberals tried to stall it. They buried language in the motion that said the tax-haven probe could only begin “after the conclusion” of the affordability study, code for months of delay while ministers played hide-and-seek with their schedules. Why would they want that? Think about it: this is the same government hinting at cuts, floating austerity, telling Canadian public sector to brace for restraint. Yet at the same time, they show zero urgency in chasing down up to approx. $50 billion a year leaking into offshore tax shelters. Why on earth wouldn’t they want to plug that hole before they slash programs or raise taxes? But the opposition caught it, ripped it out, and forced a rewrite: the tax-haven study runs at the same time as C-4. No more excuses.
So what does this tell you? It tells you two things. First, the Liberals will rig process any way they can to avoid scrutiny, implement first, answer questions never. And second, when opposition MPs actually use the tools at their disposal, the swamp can be forced to act. Billions are at stake. Billions that should be lowering your taxes, funding real infrastructure, protecting Canadians instead of vanishing into shell companies in Barbados.
So the question is simple: will this committee have the courage to follow through? Or will the Liberals and their media allies smother it in delay and jargon until the public forgets?
One thing’s for sure: the smell of panic is back in Ottawa. And for taxpayers who’ve been bled dry while watching global elites hide their fortunes offshore, that’s very good news.
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Business
Crown corporations dish out $190 million in bonuses

The federal government rubberstamped more than $190 million in bonuses to Crown corporations in 2024-25, according to government records obtained by the Canadian Taxpayers Federation.
“Bonuses are for when you do a good job, they shouldn’t be handed out like participation trophies,” said Franco Terrazzano, CTF Federal Director. “Taxpayers can’t afford to bankroll big bonus cheques each and every year for highly paid government executives.
“Here’s a crazy idea: maybe the government should stop handing out bonuses when it’s borrowing tens of billions of dollars every year.”
The records detailing Crown corporation bonuses for 2024-25 were released in response to an order paper question submitted by Conservative member of Parliament Andrew Scheer (Regina-Qu’Appelle).
Crown corporations dished out $190.3 million in bonuses for the last fiscal year, according to the records. The records break down both executive and non-executive bonuses.
The Business Development Bank of Canada issued more bonuses than any other Crown corporation, with its bureaucrats taking home more than $60 million. Every executive took a bonus, with the average executive bonus totalling $216,000, according to the records.
Several failing Crown corporations rubberstamped bonuses.
The Canada Mortgage and Housing Corporation rubberstamped $30.6 million in bonuses last year. Nearly 99 per cent of CMHC executives took a bonus, for an average executive bonus of $42,900, according to the records.
The CMHC has repeatedly claimed it’s “driven by one goal: housing affordability for all.”
In 2024, the Royal Bank of Canada said it was the “toughest time ever to afford a home.” More than 70 per cent of Canadians who do not own a home said “they have given up on ever owning” one, according to polling from Ipsos.
VIA Rail also dished out $11 million in bonuses in 2024-25. The records show 100 per cent of its executives took a bonus last year. The average bonus for VIA Rail executives is $110,000.
VIA Rail’s operating losses totaled $385 million in the most recent year, according to its latest annual report. The government bailed out VIA Rail to the tune of $1.9 billion over the last five years just to cover the train company’s operating losses.
The Canada Infrastructure Bank dished out $8.6 million in bonuses in 2024-25. The records show 83 per cent of its executives took a bonus, for an average executive bonus of $197,000.
“The CIB is not expected to reach its disbursement goals in any sector by 2027-28,” according to the Parliamentary Budget Officer.
In May 2022, the House of Commons Standing Committee on Transport, Infrastructure and Communities tabled a report with only one recommendation: “The Government of Canada abolish the Canada Infrastructure Bank.”
Multiple Crown corporations including Canada Post and the National Capital Commission, did not provide bonus records for 2024-25. Both Crown corporations said they had “nothing to report at this time.”
Federal departments and agencies have yet to provide bonus figures for 2024-25. However, the government rubberstamped more than $1.5 billion in bonuses to bureaucrats employed by federal departments and agencies between 2015 and 2023. The bonuses kept flowing despite the fact that “less than 50 per cent of [performance] targets are consistently met within the same year,” according to the PBO.
Prime Minister Mark Carney is requiring Crown corporations to propose savings of up to 15 per cent of their spending by 2028, according to media reports.
“The first thing on Carney’s chopping block should be taxpayer-funded bonuses,” Terrazzano said. “We need a culture change in Ottawa and that means the government must stop rewarding failure with taxpayers’ money.”
Table: Crown corporations with highest bonuses 2024-25
Crown corporation | Total bonuses | Executives who got a bonus | Average executive bonus |
Business Development Bank of Canada |
$60,742,616 |
100% |
$216,093 |
Export Development Canada |
$45,044,281 |
79% |
$143,323 |
Canada Mortgage and Housing Corporation |
$30,636,283 |
99% |
$42,982 |
Royal Canadian Mint |
$12,155,211 |
N/A |
N/A |
VIA Rail |
$11,031,412 |
100% |
$110,768 |
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