(Reuters) – Canada on Tuesday revealed a new tax on wealthy individuals that will bring in billions of dollars over the next five years to help fund housing programs designed to win over a disgruntled voter base.

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Budget highlights:

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COMMENTS

HANNA ZAIDI, VP OF PAYMENTS STRATEGY, WEALTHSIMPLE

“Canadians pay some of the highest banking fees in the world. A meaningful open banking system puts Canadians — not their bank — in control of their financial data and can make life more affordable.”

“All parties in the House of Commons agree: it’s time for action to lower the cost of banking for Canadians. The update in today’s Budget is welcome and we hope it is fully implemented soon so that Canadians can reap the benefits.”

FERNANDO MELO, FEDERAL DIRECTOR, CANADIAN RENEWABLE ENERGY ASSOCIATION

“The one (item) I’m very happy to see is the Indigenous loan guarantee. That’s going to be an absolute game-changer for Indigenous companies and communities that are trying to get involved in the renewable electricity sector. It’s a great start.”

FLAVIO VOLPE, HEAD, THE AUTOMOTIVE PARTS MANUFACTURERS’ ASSOCIATION

“I think this (the EV tax credits) is a new competitive offering. This is probably the best indication that we’re very competitive on some of the investments that haven’t dropped yet. And we’re gonna see electric vehicle (EV) focused investments rather than battery focused investments that will land because of tax credits.”

DAVID-ALEXANDRE BRASSARD, CHIEF ECONOMIST,CPA CANADA

“This is not a game-changing budget. It continues Canada on the path of increased spending and taxation, leaving longer-term challenges such as productivity and competitiveness largely unaddressed and kicking the fiscal responsibility can down the road.”

JIMMY JEAN, CHIEF ECONOMIST, DESJARDINS GROUP

“We see meaningful risks that fiscal anchors end up being breached … We believe that lots of the bottom-line improvement being promised hinges on assumptions we consider to be optimistic on nominal GDP and new tax receipts. Similarly, the recently promised spending on housing-related infrastructure is only partly booked.”

Aswas

(Reporting by Fergal Smith, Rod Nickel and Divya Rajagopal, Nivedita Balu; Editing by by Denny Thomas)

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