First Nations and Métis leaders have raised concerns over the federal government’s spring economic update for not including distinctions-based funding for Indigenous communities in its “Canada Strong” plan. The update, released recently, outlines approximately $2.1 billion in new funding for essential services for Indigenous peoples, in addition to around $2.2 billion previously announced by Indigenous Services Canada earlier this year.
Criticism has emerged regarding the absence of specific allocations for First Nations, Métis, or Inuit communities within the funding framework. Assembly of First Nations (AFN) National Chief Cindy Woodhouse Nepinak expressed disappointment, particularly in the lack of distinctions-based funding for areas such as First Nations infrastructure, housing, and clean water. The AFN emphasized the need for sustained and sufficient investments to address the infrastructure gap in Indigenous communities, benefiting not only them but all Canadians.
Among the newly allocated funds, $601 million is designated for education on reserves, $700 million for implementing child and family services legislation, and $764 million for the Non-Insured Health Benefits (NIHB) program for First Nations and Inuit populations. While acknowledging the importance of investments in NIHB and mental wellness services, Woodhouse Nepinak highlighted the absence of additional funding for the First Nations Child and Family Services Program and the insufficiency of previously announced support for Jordan’s Principle.
The Manitoba Métis Federation (MMF) echoed concerns over the lack of distinctions-based funding in the economic update. MMF President David Chartrand emphasized the necessity of such funding for accurately measuring the impact of investments in Métis communities. Chartrand expressed hope that the $700 million allocated for child and family services legislation is just an initial commitment, as MMF estimates a higher budget of $1.3 to $1.6 billion over five years to implement necessary changes for the children under their care.
Chartrand emphasized the importance of trust in the federal government’s commitment to the Métis people, especially amidst global crises and trade tensions with the United States, highlighted in the economic update. Indigenous Services Minister Mandy Gull-Masty acknowledged the ongoing need for more resources and emphasized the inclusive nature of the fiscal update, stating that the funds benefit everyone in Canada, not limited to Indigenous communities.
Gull-Masty underlined the government’s intention to utilize reserved funds, such as the $4 billion allocated to the Urban, Rural, and Northern Indigenous Housing Strategy, to create more fiscal room in the upcoming budget. She stressed the significance of a comprehensive strategy to address the substantial needs across Canada. The National Association of Friendship Centres welcomed the update for its inclusion of friendship centres, while the Native Women’s Association of Canada called for sustained engagement and clarity on addressing disparities and barriers for Indigenous women.