YELLOWKNIFE (April 22, 2015) – The Government of the Northwest Territories (GNWT) is pleased with the Government of Canada’s decision, announced in yesterday’s federal budget, to increase the federally imposed borrowing limit to $1.3 billion from $800 million.

“Building a strong, prosperous Northwest Territories that provides jobs and economic opportunities is a priority for the Government of the Northwest Territories,” said Premier Bob McLeod. “Today’s announcement demonstrates that the Government of Canada shares our belief in the economic potential of our territory and is committed to supporting the aspirations of its residents.”

“This increase in our borrowing limit gives the Government of the Northwest Territories increased flexibility to invest in much-needed infrastructure that will support the responsible development of the NWT and its economy and bring down the cost of living for communities and residents,” said Minister of Finance J. Michael Miltenberger. “We are pleased that the federal government has recognized both the positive economic outlook for the territory and our disciplined fiscal management.”

The GNWT has not yet determined what new projects it might undertake, but has previously stated that strategic investments in transportation and energy infrastructure that will support long term economic growth and address energy costs are priorities. Decisions on new investments will be made as part of the GNWT’s normal planning processes and will include discussions with Members of the Legislative Assembly and other stakeholders.

“We also understand that future increases to the borrowing limit will consider the degree to which our debt is self-sustaining,” said Minister Miltenberger. “This will ensure that the GNWT’s prudent borrowing practices are reflected in the borrowing limit amount and should allow for additional flexibility to pursue Legislative Assembly priorities going forward.”

The increased borrowing limit does not change the GNWT’s current fiscal strategy, which is aimed at aligning expenditures to available revenues in a time of flat revenue growth.

Media inquiries:

Roya Grinsted
Cabinet Communications
Government of the NWT
Tel: 867-669-2308
Email: roya_grinsted@gov.nt.ca