a first nations - led framework to get around many of the systemic barriers that continue to impede access to credit, investment and development in first nations communities. chart 2 : recent fnfa bond spreads are comparable with similar canadian municipal bonds spread over sovereign benchmark basis points fnfa rolling spreads note : fnfa is the first nations finance authority. source : bloomberg bloomberg canadian municipal bond aggregate spread last observation : march 30, 2022 in fact, the fnfa ’ s impressive track record has enabled first nations governments to borrow at rates that are comparable to canadian municipalities, as we can see in chart 2. consequently, over 300 first nations ( about half ) have opted to join this innovative and effective framework. nonetheless, despite issuances from the fnfa totalling $ 1. 63 billion, 22 access to finance continues to be a significant issue in indigenous communities. huge investment gaps remain. a recent report estimated that first nations communities face a $ 30 billion infrastructure deficit, including housing, roads, water treatment, internet access, health centres and schools. 23 the newly formed mi ’ kmaq coalition — a grouping of seven mi ’ kmaq communities in the atlantic provinces — boasts one of the most compelling success stories to emerge from this unique financial framework. its acquisition of 50 % of clearwater seafoods represents the single largest indigenous investment in the seafood industry. while this framework has helped first nations communities obtain better access to capital, it is important to note that individual indigenous firms — including first nations, inuit and metis — have not similarly benefitted. this is where nacca comes in. the aboriginal financial institutions ( afis ) that are part of the nacca network have made greats strides in removing many of the historical obstacles to financing. they provide direct access to finance for many small and mediumsized indigenous businesses. since the first afis were founded some 40 years ago, the network that nacca represents has been remarkably successful. 22 this amount has been raised from nine debenture issuances since june 2014. external ratings started at a3 ( moody ’ s ) in 2014 and have improved over time to aa3 ( moody ’ s ) and a + ( s & p ) for the most recent issuance in february 2022. 23 canadian council for public - private partnerships, p3 ’ s : bridging the first nations infrastructure gap ( 2016 ). chart 3 : nacca has increased it's lending while keeping loan loss rates very low can $

the non - indigenous population in recent years. 16, 17 furthermore, indigenous businesses are performing well. recent evidence indicates that small and medium - sized enterprises ( smes ) in indigenous communities export their products and services at rates that are comparable to — or even higher than — non - indigenous smes. 18 export participation is typically associated with businesses that enhance productivity through innovation. 19 in addition, many indigenous firms are involved in environmentally sustainable activities. i don ’ t mean to gloss over the many challenges that continue to hinder indigenous prosperity. i simply want to stress that tremendous untapped potential 11 between 2006 and 2016. 12 statistics canada, “ aboriginal population profile, 2016 census, ” statistics canada catalogue no. 98 - 510 - x2016001, 2019. 13 between 2017 and 2021. 14 statistics canada, “ educational attainment in the population aged 25 to 64, off - reserve aboriginal, non - aboriginal and total population, ” statistics canada table no. 37 - 10 - 0117 - 01 ( march 2022 ). 15 d. lamb, “ aboriginal early school leavers on - and off - reserve : an empirical analysis, ” canadian public policy 40, no. 2 ( 2014 ) : 156 – 165. 16 more than 62, 000 indigenous people reported that they were self - employed in 2016, an increase of 44 % since 2011. canadian council for aboriginal business, understanding intellectual property awareness & use by indigenous businesses : 2019 intellectual property survey of indigenous businesses ( summer 2021 ). 18 a. belanger baur, “ indigenous - owned exporting small and medium enterprises in canada, ” global affairs canada & canadian council for aboriginal business ( 2019 ). 19 canadian council for aboriginal business, promise and prosperity : the 2016 aboriginal business survey ( 2016 ). exists. this potential will only be realized when private firms and public agencies commit to economic reconciliation. the possible returns should be substantial, both for indigenous communities and for the entire country. access to credit and capital — an important barrier the challenges indigenous peoples face when it comes to restoring their prosperity are the direct result of colonial policies that violated their basic human rights and undermined their political and economic sovereignty. these policies have led to geographic and economic isolation, financial dependence and widespread poverty and suffering. i know you are keenly aware of the obstacles that limit indigenous economic inclusion, but more canadians should understand them. indigenous peoples face numerous barriers to accessing financial services — most notably, credit and capital — compared with the non - indigenous