Economic Opportunities Through Development Nunavut Trade Show and Conference September 20, 2016 Anja Jeffrey A/Director General, Operations Canadian Northern Economic Development Agency

CanNor Priorities Support the development of an Innovation Agenda Foster innovation in the North, including clean technology, through investments made under CanNor’s contribution programs and collaboration with stakeholders, in support of the Government of Canada’s Innovation Agenda. Strengthening and diversifying the northern economy Support the diversification of the northern economy by investing in key sectors that show potential for growth. Increase strategic investment in Indigenous businesses to foster participation in economic growth in northern communities. Identify northern firms with growth potential and support their development. Advancing major project development in the North Support community planning efforts to enable northern communities to fully benefit from major project development in the North. 2

3 CanNor Contribution Programs ( ) Core Northern Aboriginal Economic Opportunities Program (NAEOP) Support development for Indigenous communities and businesses ($10.8M) Strategic Investments in Northern Economic Development (SINED) Promote economic diversification and growth ($18.2M) National Programs Economic Development Initiative (EDI) Support economic growth in Francophone communities ($80K) Canada 150 Community Infrastructure Program (CIP 150) Invest in community infrastructure for 150 th anniversary ($6.4M) Sector Specific Northern Adult Basic Education Program (NABEP) Enhance literacy and workplace skills ($3.6M) Centre for Northern Innovation in Mining (CNIM) Training and research facility at Yukon College ($1.1M) Certification and Market Access Program for Seals (CMAPS) Seal industry marketing ($63K) Total contribution budget for : $40.2 million

CanNor Investments and Activities CanNor’s Northern Projects Management Office is currently managing over 30 projects with potential for over $21 billion in capital investment and over 9,000 long- term direct operating jobs CanNor also works with communities to advance community readiness and support increased participation of Indigenous people in northern economic opportunities CanNor delivers both Indigenous-targeted and general application contribution programs Since 2009, CanNor has invested $222 million in more than 1,000 projects in all 3 territories, working with diverse partners: o Geoscience o Tourism o Small and medium enterprises o Community infrastructure o Bio-mass o Fisheries o Cold climate research o Energy 4

5 Support for Innovation and clean tech SINED is CanNor’s primary program for funding of innovation and clean tech projects May 2016: CanNor harmonized SINED into a single program with three priority areas: innovation; diversification and growth; and capacity development The harmonization enabled SMEs to apply June 2016: CanNor issued a call for Expressions of Interest and received 69 EOIs. 37 passed pre-screening for eligibility; 21 passed panel review and have been invited to submit full proposals EOI ThemeInvited to submit full application NumberCanNor ask Total project budget Leveraged amount Innovation9$672,287$1,554,180$881,893 Clean Tech12$5,530,866$8,769,658$3,238,792 Total21$6,203,153$10,323,838$4,120,685

SME Support To support the growth, expansion and diversification of northern SMEs, CanNor will: Work with partners to increase and develop CanNor’s capacity Begin funding SMEs through SINED in 2016/17 and 2017/18 Continue supporting Indigenous entrepreneurs to expand their business through NAEOP; gradually increasing EBD support over time Complete an evaluation of SINED and assess whether/how support to businesses could be expanded 6

SME Program Eligibility 7 Program Budget Aimed at SMEs? Aimed at start-ups? Aimed at growing firms? Repayable?Limits SINED $18.2MYNYN Funding for SMEs only available under innovation and clean technology priority. Maximum project size is $99,999 for SMEs and $2M for not-for-profit. Starts-ups not eligible. NAEOP Community Readiness & Opportunities Planning (CROP) $8.5MNNNN Maximum project size is $3M. A maximum of 80% of total project costs will be funded. Focus is on community readiness for economic opportunities (planning; training; etc.) NAEOP Entrepreneurship & Business Development (EBD) $2.3MYYYN Maximum project size is $3M. A business applicant must provide a minimum of 15% cash equity, with the exception of entrepreneurs between 18 and 35 years of age, who must have at least 10% cash equity. Delivered through service delivery partnerships with Aboriginal organizations.

8 Partner Delivery Model FundingSummary Results Däna Näye Ventures (Yukon) ASD (Since July 2015) $523K for program delivery support over three years starting 2015/16 and $1.2M for equity contributions to be disbursed as non- repayable contributions to clients. Delivers 4 business financing programs and training. Functioned for 5 yrs. as a CanNor XDO approving 24 projects ($3M total) 6 businesses supported who received $155K in EBD funding 4 full-time jobs created and 3 full-time jobs maintained 60 program enquiries Métis-Dene Development Fund (NWT) ASD (Since February 2016) $552K for program delivery support over three years starting 2015/16 and $2.6M for EBD equity contributions to be disbursed as non-repayable contributions to clients; forecasted 74 projects valued at $6.9M Since 1991 has provided over $15M in loans to over 300 businesses. Delivered Aboriginal Business Canada services as an XDO from As a new partner, will provide CanNor with a performance report for the fiscal year in summer Kakivak Association (Nunavut – Qikiqtani Region) ASD (Since March 2015) $983K for program delivery support over three years and $3M for EBD equity contributions to be disbursed as non- repayable contributions to clients; forecasted 50 projects valued at $8.8M. Since 1991 has delivered various suites of programming including those from CanNor and ESDC 11 businesses received $1.5M ; an additional $3.1M leveraged 8 jobs were created; 5 jobs maintained 46 program enquiries Kivalliq Partners in Development (Nunavut – Kivalliq Region) XDO (since June 2015) $308K for program delivery support over three years starting 2015/16. Since 2010 has delivered $1.1M in grant funding for Indigenous businesses 2 businesses received $373K; additional $541K leveraged 9 full-time jobs maintained 24 program enquiries (up to December 2015) Kitikmeot Inuit Association (Nunavut – Kitikmeot Region) XDO (since June 2016) Approval for 2016/17. $170K approved for program delivery support from CanNor. Created in 1976; experience in delivering economic development programs across the region. As a new partner, will provide CanNor with a performance report for the fiscal year in summer Third Party Delivery Partnerships

Key Messages Deeply value partnerships with proponents across Nunavut and the North See an increase in demand for CanNor funding and a shift in funding requests Aligning suite of policies and programs in support of the Innovation and Inclusive Growth Agenda In process of determining future calls for proposals to target portions of CanNor funding NAEOP and SINED evaluations by spring 2017; results will inform program renewal (SINED) and program performance (NAEOP) With your feedback, we get a better understanding of the future funding needs and can propose program design around it Thank you 9