Key Takeaways
- Canada has roughly a two‑year window to capitalize on a once‑in‑a‑generation opportunity as the traditional rules‑based global order frays.
- Business leaders urge Ottawa to accelerate project approvals, cut regulatory red‑tape, and make tax policy more competitive to attract and retain capital.
- Specific tax ideas include lowering capital‑gains taxes, eliminating them on early‑stage startup investments, and offering generous exemptions on primary‑residence gains to spur wealth‑to‑enterprise flow.
- Streamlined approvals and swift government capital commitments are seen as essential for both startups and established firms to compete internationally.
- While Indigenous‑focused financing programs are improving, many First Nations still lack access to capital beyond major infrastructure projects, highlighting the need for broader entrepreneurial support.
Introduction and Context
At The Globe and Mail’s Intersect 2026 conference in Toronto, Raymond Gatcliffe, chief executive officer of Citibank Canada, took the stage alongside a photo showing him second from left. The gathering brought together senior executives, policymakers, and Indigenous leaders to discuss Canada’s economic trajectory amid shifting global dynamics. Gatcliffe’s remarks framed the conversation around urgency, highlighting that the window for decisive action is narrowing rapidly. His address set the tone for a series of recommendations from other business leaders who echoed concerns about regulatory bottlenecks and tax competitiveness. The conference underscored a shared belief that Canada must act swiftly to secure investment and foster growth in an increasingly unpredictable world.
The Urgency of a Narrow Window
Gatcliffe emphasized that Canada has approximately two years—not five or ten—to leverage what he described as a “once in a generation opportunity.” He argued that the traditional global rules‑based order has eroded, compelling nations to pursue unilateral strategies to protect and advance their interests. In this new environment, speed becomes a competitive advantage; delays risk ceding ground to rivals that can mobilize capital and execute projects faster. By stressing the limited timeframe, Gatcliffe sought to galvanize federal authorities into immediate action, framing swift policy and procedural reforms as essential to seize the moment before it passes.
Shifting Global Order and Regulatory Need
According to Gatcliffe, the disruption of multilateral systems and trade agreements means governments must recognize the new reality and act decisively to win in a period where those frameworks have receded. He contended that for both startups and larger enterprises to thrive, Canada must provide a regulatory environment that removes obstacles, accelerates approval mechanisms, and backs opportunities with committed government capital. Such an environment would signal to global partners that Canada is reliable and prepared to invest alongside them, thereby enhancing its attractiveness as a destination for foreign direct investment and international collaboration.
Regulatory Barriers Affecting Business Competitiveness
When speaking with Canadian businesses, Gatcliffe repeatedly hears concerns about steep regulatory hurdles that impede competitiveness. Leaders call for Ottawa to streamline approval processes, reduce bureaucratic delays, and adopt a more agile stance toward project timelines. He argued that adjusting tax policies to make Canada more competitive with peer nations is equally critical, proposing that the government consider direct equity stakes in projects deemed essential for economic growth. Demonstrating commitment through co‑investment would reassure global partners and differentiate Canada in a crowded marketplace.
Tax Policy Reforms to Attract Foreign Capital
Gatcliffe’s prescription includes a recalibration of Canada’s tax framework to lure foreign capital. He recommends making the capital gains tax more competitive relative to other jurisdictions, which would reduce the tax burden on investors and encourage cross‑border flows. Additionally, he advocates for the government to take direct investment stakes in strategic initiatives, thereby showcasing confidence in domestic projects and aligning public‑private interests. These measures, he believes, would create a virtuous cycle where improved tax competitiveness draws capital, which in turn fuels growth and reinforces Canada’s standing on the world stage.
Alternative Tax Proposals from Private‑Sector Voices
Brice Scheschuk, managing partner at Globalive Capital and owner of Wealth One Bank of Canada, echoed the need for tax reform but offered specific tweaks. He urged Ottawa to eliminate the capital gains tax on early‑stage investing, arguing that such a move would incentivize wealthy individuals to fund startups without punitive tax consequences. Simultaneously, Scheschuk suggested introducing a capital gains tax on the sale of primary residences, paired with a substantial exemption for the average Canadian homeowner. Together, these policies would shift incentives toward entrepreneurial risk‑taking while preserving housing affordability for most citizens.
Ensuring Capital Stays in Canada
Harry Culham, chief executive officer of CIBC, warned that retaining investment hinges on regulatory agility. He noted that while progress is being made, much more is required because capital will flee if uncertainty persists. Culham called for approvals and regulatory decisions to be delivered in months or even hours, reflecting the pace demanded by global markets. He emphasized that stakeholders across the public and private sectors are already working diligently behind the scenes to accelerate reforms, but systemic speed‑ups are indispensable to keep domestic and foreign capital anchored in Canada.
Indigenous Partnerships and Access to Capital
Bill Lomax, CEO of the First Nations Bank of Canada, highlighted that many of Ottawa’s fast‑tracked infrastructure projects will require Indigenous buy‑in, presenting both a challenge and an opportunity. He reported that access to financing for Indigenous‑led projects is improving through partnerships with the Canada Infrastructure Bank and the Business Development Bank of Canada. The newly launched Canada Indigenous Loan Guarantee Program, announced in 2024, is beginning to provide loan guarantees that facilitate greater First Nations ownership in resource ventures, signaling a step toward inclusive economic participation.
Limitations of Current Indigenous‑Focused Measures
Lomax cautioned, however, that existing initiatives remain insufficient to meet the broader capital needs of Indigenous communities nationwide. While a minority of First Nations will benefit from major resource projects, a large number of nations lack such opportunities within their territories yet still require funding to develop local businesses and entrepreneurship. He urged the government to expand capital availability beyond flagship programs, ensuring that all Indigenous communities can access financing for diverse ventures, from tourism to technology, thereby fostering widespread economic resilience.
Conclusion and Call to Action
The consensus among conference participants is clear: Canada must act quickly to sharpen its competitive edge. Accelerating regulatory approvals, reforming tax policies to attract and retain investment, and broadening access to capital for Indigenous entrepreneurs are inter‑related levers that, if pulled in tandem, can secure the nation’s position in a reconfigured global landscape. With roughly two years to act, decisive federal leadership—paired with proactive private‑sector engagement—will determine whether Canada can transform this fleeting opportunity into sustained, inclusive growth.