Canada Federal Election

Canada’s new administration embraces a pro-growth strategy. Although major policies from the new Liberal government are still taking shape, its fiscal and costing plan – released during the campaign – offers some insight into its policy direction. Distinguishing the administration from its predecessor is a stronger emphasis on pro-growth capital expenditure over operating spending. This shift could have important implications for Canada’s fiscal balance and long-term economic growth. With a modest fiscal expansion focused on tax relief for consumers and new investments aimed at addressing Canada’s persistent productivity challenges, the commercial real estate sector is well positioned to benefit. All major CRE segments are expected to see major gains from this policy tailwind.