Three Regional Indigenous Tourism Boards Split from ITAC Over Financial Strains

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Key Takeaways

  • Three provincial Indigenous tourism organizations—Indigenous Tourism Ontario (ITO), Indigenous Tourism B.C. (ITBC), and the Nova Scotia Indigenous Tourism Enterprise Network (NSITEN)—have withdrawn support from the Indigenous Tourism Association of Canada (ITAC), citing financial mismanagement and lack of transparency.
  • The withdrawing groups have signed a memorandum of understanding to create a new national tourism body and plan to invite other organizations to join.
  • ITAC’s CEO, Keith Henry, says the organization is in crisis due to a lack of federal investment and unfulfilled promises of £35 million‑per‑year funding from a U.K. charity that has not materialized.
  • Numerous small Indigenous‑owned businesses report non‑payment or delayed receipt of federal Micro and Small Business Stream grants administered through ITAC, causing financial hardship.
  • ITAC has laid off its staff (unpaid CEO remains) and is seeking public support letters to pressure the federal government for renewed funding.
  • Innovation, Science and Economic Development Canada confirms a comprehensive review of the grant program is underway, but no further details can be released while the review is ongoing.
  • Affected entrepreneurs, such as Aïcha Smith‑Belghaba of Esha’s Eats, describe the funding delay as an additional full‑time job and criticize ITAC leadership for lacking accountability and a concrete action plan.

Background of the Withdrawal
In May 2024, three provincial Indigenous tourism organizations announced they were ending their support for the Indigenous Tourism Association of Canada (ITAC). Indigenous Tourism Ontario (ITO), Indigenous Tourism B.C. (ITBC), and the Nova Scotia Indigenous Tourism Enterprise Network (NSITEN) cited “financial mismanagement and lack of transparency in fund allocation” as the core reasons for their decision. The groups said they had attempted to resolve concerns through mediation with ITAC’s CEO and board, but those efforts yielded no meaningful participation.

Provincial‑Led Governance Model
ITBC Chair Brenda Baptiste explained in a May 12 letter to ITAC that the withdrawal follows “escalating public concerns” and reflects sustained, unresolved issues regarding ITAC’s conduct, direction, and governance. To protect the credibility and growth of their provincial sectors, the organizations are refocusing on a provincial‑led governance model until a new national structure can be established. The letter emphasized that the move is not a rejection of Indigenous tourism collaboration but a step toward rebuilding trust.

Formation of a New National Body
Alongside their withdrawal, ITO, ITBC, and NSITEN signed a memorandum of understanding (MOU) to create a separate national tourism organization. The MOU outlines their intention to invite other Indigenous tourism groups across Canada to join the new entity in the coming months. This initiative aims to provide a transparent, accountable alternative that can better coordinate funding, advocacy, and industry development at the national level.

ITAC’s Financial Crisis
Keith Henry, president and CEO of ITAC, responded publicly by declaring the organization “in crisis.” He attributed the emergency to a lack of federal investment, noting that ITAC had received no federal funding for the 2026‑27 fiscal year. Henry also highlighted a promised annual contribution of £35 million from a U.K. charity that has not been delivered, leaving a significant gap in the organization’s budget.

Staff Layoffs and Leadership Stance
In light of the funding shortfall, ITAC laid off its entire staff effective February 15, 2024, while Henry remains on staff in an unpaid capacity. He asserted that allegations of financial mismanagement and lack of transparency made by ITBC and NSITEN are “unfair and untrue.” Henry said he had attempted to meet with the withdrawing organizations for years, but claimed their agendas had diverged from the goal of building a unified industry voice. He added that ITAC remains willing to resolve disputes provided the parties respect its staff and board.

Support Letters and Federal Advocacy
To pressure the federal government, Henry reported that ITAC had collected over 60 letters of support from stakeholders urging renewed investment. He shared a sample of 12 such letters with CBC Indigenous, emphasizing that the core issue for Indigenous tourism in Canada is a lack of commitment and investment in infrastructure. Henry called on Canadians to write to the Secretary of State for Small Business and Tourism to advocate for federal backing.

Impact on Small Indigenous Businesses
The funding delays have directly affected numerous Indigenous entrepreneurs. Aïcha Smith‑Belghaba, owner of Esha’s Eats—a catering and Indigenous culinary experience business based at Six Nations of the Grand River—has been waiting for a $25,000 Micro and Small Business Stream grant since January 2025. Because the grant has not arrived, she has taken on a second full‑time job to sustain her livelihood. Smith‑Belghaba described the ordeal as exhausting, saying the fight for the owed funds has become an additional job layered on top of her existing responsibilities.

Calls for Accountability
Smith‑Belghaba criticized Henry’s communications for offering excuses rather than concrete plans or accountability. She argued that, as CEO, Henry bears responsibility for ensuring approved funds reach recipients and that his failure to do so undermines trust in ITAC. She went further, stating that “everybody’s better off without ITAC” because, in her view, the organization has not delivered tangible benefits to Indigenous tourism operators.

Government Review of Grant Program
Innovation, Science and Economic Development Canada (ISED) confirmed that a comprehensive review of the Micro and Small Business Stream grants—some of which have not been disbursed through ITAC—is currently underway. A department representative said the review prevents them from providing further comment at this time. The ongoing assessment leaves recipients like Smith‑Belghaba in limbo, awaiting clarification on whether and when the promised funds will be released.

Outlook and Implications
The withdrawal of three major provincial organizations signals a profound fracture within Canada’s Indigenous tourism sector. While ITAC seeks to survive through public advocacy and hopes for imminent U.K. funding, the forming of a new national body by ITO, ITBC, and NSITEN suggests a move toward alternative governance models that prioritize transparency and provincial autonomy. The outcome will likely shape how federal grants are administered, how Indigenous tourism businesses access support, and whether a unified national voice can be restored or replaced by a more decentralized network. Until the funding issues are resolved and accountability demonstrated, many Indigenous entrepreneurs continue to face financial strain, underscoring the urgent need for reliable, transparent support mechanisms.

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