Solutions to boost Canada's infrastructure

New document from Canada's life and health insurers provides blueprint

TORONTO, June 25, 2014 /CNW/ - Canada faces an estimated $400 billion infrastructure deficit that must be addressed if we are to grow our economy and support Canadians' standard of living.  Today, the Canadian Life and Health Insurance Association (CLHIA) released a report, Get it Built: Fostering Economic Growth and Prosperity Through Enhancements to Canada's Long-term Investment Market, making recommendations on how businesses and governments can work together to build the infrastructure this country needs.

"From the hospitals that heal us to the bridges that link us, a robust infrastructure system is critical to economic growth and to maintaining Canadians' standard of living," said Frank Swedlove, President of the Canadian Life and Health Insurance Association (CLHIA). "Canadian life and health insurers have $540 billion in long-term assets in Canada.  We are prepared to work with governments to invest in infrastructure and get these projects built."

The report notes that it is vital for governments to commit to working with the private sector to make sure these important projects continue to get built. It recommends a number of steps that provincial governments and the federal government can take to stimulate financing:

• Governments should create a dedicated agency to assist in funding infrastructure
• Federal and provincial governments can help municipalities more easily access private investment dollars to finance their infrastructure requirements
• Governments should issue more 50-year bonds to help finance infrastructure projects
• Governments need to ensure that the regulatory and accounting regimes support a robust long-term investment market

To find out more and to read the report, visit http://www.clhia.ca/get-it-built

About the CLHIA

Established in 1894, the CLHIA is a voluntary association whose member companies account for 99 per cent of Canada's life and health insurance business. The industry provides a wide range of financial security products such as life insurance, annuities (including RRSPs, RRIFs and pensions) and supplementary health insurance to almost 27 million Canadians. It also holds close to $615 billion of assets in Canada and employs about 142,600 Canadians.

Video with caption: "Video: Solutions to boost Canada's infrastructure". Video available at: https://www.youtube.com/watch?v=ywE0h6p_o1U

SOURCE: Canadian Life and Health Insurance Association Inc.

Wendy Hope, Vice President, External Relations, [phone]