Manitoba Liberals pitch business development bank

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This article was published 11/08/2023 (759 days ago), so information in it may no longer be current.

The Manitoba Liberal Party is bringing back a campaign proposal it pitched four years ago: to create a business development bank to support local entrepreneurs.

The initial investment in the public bank would be $100 million in the first year, Liberal Leader Dougald Lamont said Friday, adding such a resource is needed even more now to help businesses strained because of the COVID-19 pandemic.

“It’s still desperately needed,” he said.

“After the pandemic, it’s absolutely critical for Manitoba businesses to be able to rebuild. We’re heading into a recession, interest rates are up, so it’s even more difficult than ever for entrepreneurs to get off the ground.”

The proposed bank would be politically independent and would allow entrepreneurs to pay back funds as their businesses become profitable, rather than starting out with loans and debt or relying on a “grant-based economy,” Lamont said in the St. Boniface neighbourhood of Winnipeg, surrounded by Liberal candidates.

The provincial election is scheduled to occur Oct. 3.

The Liberal leader and MLA for St. Boniface said businesses, farmers, and First Nations would be able to benefit from the business development bank, which would buy company shares as equity investments. Alberta and North Dakota are already using their own public business-development bank models, he said.

It’s part of the party’s plan to reduce grants and tax breaks to large and profitable companies.

Lamont said the party has been told, in no uncertain terms, “while Manitoba entrepreneurs already have challenges, for women, newcomers and Indigenous entrepreneurs, it’s even worse. Even as they have the most to gain and we all benefit from having people who are marginalized make more money and be able to build wealth for themselves. This is intended to level the playing field for Manitoba businesses.”

At an unrelated news event Friday, Premier Heather Stefanson said the existing Manitoba First Fund (established by her Progressive Conservative party) “had overwhelming uptake from the investments that we have made in the venture capital fund. We have attracted significant — like hundreds of millions of dollars to Manitoba — and this fund will… help those small- to mid-sized businesses grow their businesses here in Manitoba.”

Meantime, the provincial Liberal leader said he feels confident heading into the fall election, due to the party’s strong slate of nominated candidates.

“We developed our platform in deep consultation with stakeholders and groups across Manitoba, so these aren’t just our ideas,” Lamont said. “We know they’ll work.”

katie.may@winnipegfreepress.com