Federal officials and First Nations leaders marked a major financial milestone this week as the First Nations Finance Authority (FNFA) announced it has surpassed $4 billion in loans issued to more than 100 First Nations across the country.Crown–Indigenous Relations Minister Rebecca Alty, who represents the Northwest Territories, said the lending achievements highlight the growth of the First Nations Fiscal Management Act since it came into force in 2006. She said nearly 400 First Nations have now opted into the fiscal framework, which provides taxation tools, financial management standards and pooled borrowing mechanisms..Alty said FNFA lending has supported economic development, infrastructure construction and job creation in multiple regions. She cited examples that include equity participation in the Cedar LNG project, First Nations investment in Clearwater Seafoods, ownership of a Lake Superior wind facility, and funding for clean energy development.The minister said Budget 2025 proposes amendments that would allow the FNFA to lend to Indigenous-owned special purpose vehicles, which would broaden access to capital for large projects and reduce borrowing costs for nations acting jointly.She said the change would help First Nations pursue equity stakes in major resource and infrastructure projects..Budget 2025 also includes a bonding and surety pilot program aimed at reducing barriers that prevent First Nations contractors from bidding on construction projects.Alty said many on-reserve businesses cannot access bonding because of Indian Act restrictions, which forces contractors to relocate or partner with outside firms.FNFA president and CEO Ernie Daniels, speaking alongside the minister, said the authority’s financial model has attracted investors from international markets, including central banks and institutional funds. He said the lending achievements represent an estimated 39,000 jobs and roughly $8.5 billion in economic activity..Daniels said outdated policies have historically limited First Nations’ economic participation and that expanded access to capital is essential for closing the estimated $350-billion infrastructure gap. He said the amendments and pilot programs signalled a significant shift toward economic reconciliation and greater financial autonomy.FNFA board chair and Chiáktl̓a̓ First Nation Chief Derek Epp described how pooled borrowing and financial management tools have supported affordable housing, community infrastructure and partnerships with local governments. He said his nation has shifted from being mostly reliant on federal transfers to generating the majority of its revenue independently..Epp said allowing FNFA lending to special purpose vehicles would help Indigenous groups secure better financing terms when taking equity in major projects. He referenced a recent 38-nation partnership in British Columbia that negotiated a $736-million stake in a natural gas pipeline, saying broader access to capital would allow more revenue to remain within communities.During questions, Daniels said the bonding and surety pilot could help First Nations contractors compete for major federal projects, including work underway on Parliament Hill. Alty added that the pilot could also allow contractors living on reserve to bid on local school, health, water and infrastructure projects without being forced to move or buy property off reserve.
