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Prime Minister Justin Trudeau gives Finance Minister Chrystia Freeland the thumbs up
Prime Minister Justin Trudeau gives Finance Minister Chrystia Freeland the thumbs up THE CANADIAN PRESS/Sean Kilpatrick

April 21, 2021

Federal budget 2021: $18 billion is a step towards closing gaps between Indigenous and non-Indigenous communities

Indigenous communities have been historically underserved and under-resourced, writes Kerry Black, Schulich School of Engineering, in Conversation Canada

There is no denying that the landscape of our collective reality has shifted dramatically since the pandemic began.  in COVID-19 relief efforts, job creation and building a resilient economy.

But where does the 2021 budget stand on investments in Indigenous people and communities?

The pandemic continues to pose significant and unique risks to Indigenous people. , and have been battling  all while fighting COVID-19. Investment needs are both urgent and substantial.

It is clear that the budget tabled by Finance Minister Chrystia Freeland showcases  and for Indigenous people.

Funds to national inquiry and community infrastructure

The investments presented in Chapter 8 of budget 2021 show  over the next five years to “improve the quality of life and create new opportunities for people living in Indigenous communities.â€

There is no doubt that this government continues to prioritize Indigenous people in its efforts. Over the past four years, there have been significant investments, starting with . And in the , the Liberal government committed funding to health and well-being of Indigenous people, the National Inquiry into Missing and Murdered Indigenous Women and Girls (MMIWG), child care and significant investments in infrastructure including drinking water provisions in areas where there are advisories.

Budget 2021 builds on the infusions into MMIWG from the Fall Economic Statement, which had previously committed . A necessary funding investment to what many experts have warned is a .

National MMIWG Inquiry Commissioners Marion Buller and Michele Audette prepare the official copy of the report. Budget 2021 sees continued investment in inquiry Calls for Justice.

National MMIWG Inquiry Commissioners Marion Buller and Michele Audette prepare the official copy of the report. Budget 2021 sees continued investment in inquiry Calls for Justice.

THE CANADIAN PRESS/Adrian Wyld

 towards infrastructure in Indigenous communities, a notable and necessary commitment.  investments into infrastructure include support for water, housing, schools and roads, building on the  from the .

From budget 2021,  for all Indigenous people. A further $1.7 billion covers operation and maintenance costs for First Nations living on-reserve.

Other notable investments include a continued focus on water and wastewater, including $125.2 million over four years beginning in 2022-23. These investments build on the recent announcement committing  in Indigenous communities.

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However, we know that closing the infrastructure gap will require  to address new and existing deficits because of historic underfunding of both capital and operations costs.

Projects planned pre-pandemic now require more funding in order to be completed — because of supply chain issues for items such as timber, initial projected costs have sky-rocketed. These are just some of the realities that will impact our ability to .

We need targeted funding for First Nations housing

And what about housing, which is often lost among the landscape of infrastructure investments.

Budget 2021 stays the course and does not directly target housing investments for First Nations living on-reserve. There are, however, . This initiative however, doesn’t have a targeted funding stream for First Nations despite the widespread agreement that .

Targeted investments in housing for First Nations living within their Nations are essential, and help to balance the housing needs on- and off-reserve. The  estimated capital investment needs of $20 billion. This value has only increased since then.

COVID-19 response

The $1.2 billion targeted investment for COVID-19 response has investments that . This includes .

In a survey conducted by Statistics Canada,  since the onset of physical distancing. Similarly, , making these investments more critical. Suicide rates have increased, for example in , and among .

Economic recovery and  unveiled yesterday. And we need to ensure the investments non-Indigenous communities receive are at least mirrored for Indigenous communities.

Construction of a 24-kilometre stretch of road was completed in Shoal Lake 40 First Nation on May 30, 2019. The road connected the community with the Trans Canada Highway. Infrastructure investments were a big part of the 2021 budget.

Construction of a 24-kilometre stretch of road was completed in Shoal Lake 40 First Nation on May 30, 2019. The road connected the community with the Trans Canada Highway. Infrastructure investments were a big part of the 2021 budget.

THE CANADIAN PRESS/John Woods

Historically underserved and under-resourced

While the budget includes massive investments in the economy, Indigenous communities require substantial investment, arguably more, in these same initiatives.

Indigenous communities have been historically underserved and under-resourced. Since the onset of the pandemic, there has been a . And Indigenous people experienced .

Many programs in First Nations communities rely on , which has been severely hindered during the pandemic. There are elements within the budget that highlight a commitment to Indigenous-led business, including support for Indigenous entrepreneurs, and investing $22 million into empowering Indigenous women through the . It also expands on the Indigenous Growth Fund, .

Tackling systemic inequalities

So where does the budget leave us? The substantial investments are notable, and the government deserves recognition for its efforts to address racialized and marginalized communities in Canada.

But an important reminder is needed. True economic recovery necessitates tackling not only the funds required for investment, but also the systemic inequalities that contributed to marginalization in the first place.

These systemic inequalities are built upon the foundations of colonial programs and processes. To address them, we must put equal funding into both the process and the outcome.

Similarly, now might be a good time to rethink the colonial approach to determining the budget. A formal role in the decision-making process for Indigenous people in Canada is a necessary next step.

Simply put, when we address the systems under which we operate, we can impact the outcomes that are generated.

 is an an assistant professor at the Áù¾ÅÉ«ÌÃ.