Mr. Speaker, I am pleased to take part in this adjournment debate and to express my concerns regarding the lack of funding provided by the Atlantic Canada Opportunities Agency for the SEED capital program.
This programs serves to help Atlantic Canadians acquire the business skills and capital they need to start, modernize and expand their businesses.
Entrepreneurs are vital engines of growth in the Atlantic area. In addition to creating job opportunities in all sectors, local entrepreneurs further stimulate the economic performance of all Atlantic regions. However, we know that the ACOA continues to cut funding to these programs.
Operating one's own business certainly has its rewards, but also has its challenges. For a business to reach its full potential, a certain number of elements must be mastered, including planning, finances and marketing.
Entrepreneurs in rural areas in the Atlantic region face the considerable challenge of funding.
Through ACOA programs, these people can get the funding they need for successful start-up. Many of them depend on ACOA's SEED capital program, which provides loans to start or improve a small business, as well as acquire business skills training.
In 2005-06, the SEED capital program was a real success. It provided $6.3 million in loans— not grants, but repayable loans, and more than 469 of them—to New Brunswick entrepreneurs. Thanks to these loans and this funding, more than 663 jobs were created or maintained in New Brunswick. That is 663 jobs created or maintained in only one year.
However, ACOA recently reduced funding for this program and will only provide $1.5 million in loans for 2006-07. This amount represents less than 25% of the total loans for the preceding year under this same program.
Since this government was elected, several projects have been refused or delayed simply because of funding.
For the second year in a row, the Conservatives did not even mention ACOA in their budget.
The previous Liberal government had invested hundreds of millions of dollars in the Atlantic region through ACOA programs. In the 2005 budget, my Liberal government devoted a complete section to the Atlantic region.
In 2005, the Liberals increased funding for regional economic development organizations such as ACOA by $800 million.
I am asking the government to ensure that communities in Atlantic Canada will not be penalized owing to a lack of leadership by this government.
We know that small and medium-sized businesses are the lifeblood of Atlantic Canada. I am asking ACOA to take action in order to help Atlantic communities and business people whose development relies on funding programs.
Why did the minister abandon entrepreneurs and job creation in New Brunswick?
Will the minister continue to do so or will he restore the funding required for the seed capital program to continue providing assistance?
Entrepreneurs are not asking for charity. Entrepreneurs in Atlantic Canada and New Brunswick are demanding their fair share. They are not asking for grants. They are simply asking for loans to develop their businesses. But this government, this Conservative government, has completely destroyed this program.
This is a disastrous situation and we need to restore the program. I hope the government will listen to the Liberals.