441-02239 (Transportation)

Ensuring a safe and reliable public transportation system is a key focus of the Government of Canada to support mobility needs, drive economic activity, and achieve Canada’s goals of net-zero emissions by 2050. Passenger rail provides important connectivity to many communities across Canada and helps create demand for local service providers such as hotels, restaurants, retail and excursion companies. In general, provincial and territorial governments are responsible for local and intra-provincial passenger rail services. 

In Budget 2023, the Government committed $210 million to support the operation of VIA Rail’s fleet used to provide its long-distance, regional and remote services, including the Canadian and Skeena routes connecting Toronto to Vancouver and Jasper to Prince Rupert, respectively.  

In 2022, the Government of Canada also provided over $354 million in annual operating funding to support VIA Rail’s services from coast to coast.  

To further strengthen transportation services in rural communities, the Government of Canada launched the Rural Transit Solutions Fund in August 2021. This is the first federal fund targeting the development of innovative, locally driven transit solutions for remote, rural and Indigenous communities. The Fund is also aiding to close gaps in funding for rural, remote and Indigenous communities and provide communities with more transportation solutions to meet their daily needs, including supporting connections with other passenger transportation services.  

Canada has also invested over $33 billion through its Investing in Canada Infrastructure Program with funding through its dedicated Public Transit stream to support the construction, expansion and enhancement of public transit infrastructure that improve the safety and capacity as well as access to public transit systems.  

The Government of Canada has committed to establishing a permanent, predictable federal fund to support public transit and active transportation solutions commencing in 2026-27. More details regarding this fund will be made available later this year.  

Tourism is also a cornerstone of Canada’s economy. The tourism sector creates opportunities in communities across this country, supporting almost two million jobs and contributing some $38 billion to Canada’s Gross Domestic Product (GDP) in 2023.  

That is why the Government of Canada launched the Federal Tourism Growth Strategy Canada 365: Welcoming the World Every Day which sets out five priorities: investing in Canada to compete in a global market; embracing recreation and the great outdoors; partnering to grow Indigenous tourism; attracting more international events; and improving coordination with a Ministerial Tourism Council. The ambitious Federal Tourism Growth Strategy targets a forty percent increase in the tourism sector’s contribution to Canada’s GDP by the end of the decade. 

To further support tourism growth and development across all regions of the country, the Government of Canada has made a series of recent investments including $108 million in federal funding for the Tourism Growth Program. This new program will invest in Indigenous and non-Indigenous communities, small businesses, and not-for-profits, helping them grow and positioning Canada as a destination of choice. The program aligns with the new Federal Tourism Growth Strategy with the goal of diversifying regional economies and spurring economic growth.