OTTAWA, June 1, 2016 /CNW/ - The Honourable Carolyn Bennett, Minister of Indigenous and Northern Affairs, congratulates the First Nations Finance Authority (FNFA) on their third bond issuance on the financial markets. This issuance adds an additional $110 million to the FNFA's debentures, bringing the total debenture to $250 million.
The FNFA was established under the First Nations Fiscal Management Act (FNFMA), which enables First Nations to have greater control in the areas of financial management and taxation. The legislation also allows First Nations to access long-term financing at preferred rates through the issuance of bonds. First Nations use this financing to build homes and infrastructure, invest in economic development, and create jobs in their communities.
Budget 2016 committed $20 million over two years for the FNFA to strengthen its capital base so that it can continue to secure the best possible credit rating for its borrowing members, and meet growing demand from qualifying First Nations.
The success of the FNFMA and the FNFA contributes to the goal of improving economic opportunities for Indigenous peoples and growing the Canadian economy.
"I want to extend my congratulations to the First Nations Finance Authority on the issuance of its third bond today for the third consecutive year. This bond represents an important tool in breaking down the barriers that for too long have held back Indigenous communities from reaching their full economic potential. Access to capital and financial services is critical for First Nations to build both their communities and their futures."
The Honourable Carolyn Bennett, M.D., P.C., M.P.
Minister of Indigenous and Northern Affairs
"The FNFA is extremely pleased with the successful issuance of our third bond. Through FNFA bonds, First Nations governments are accessing the long-term financing that they need to undertake important infrastructure, housing, and economic development projects for the benefit of their communities."
CEO of the First Nations Finance Authority
- FNFA issued its inaugural bond in June 2014 for $90 million, added $50 million in July 2015, and $110 million in June 2016, for a total of $250 million.
- With this issuance, 29 First Nations are now benefitting from the FNFA's debenture.
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SOURCE Indigenous and Northern Affairs Canada
For further information: Sabrina Williams, Press Secretary, Office of the Honourable Carolyn Bennett, 819-997-0002; Media Relations, Indigenous and Northern Affairs Canada, 819-953-1160