Montréal, March 26, 2015 – Montréal International, Greater Montréal’s economic development agency, welcomes the 2015-2016 Québec budget, which helps cement the region’s position as a top investment destination, while confirming a return to fiscal balance.
Targeted tax credits
The tax credits for the video game industry and the development of e-business have been restored to pre-June 2014 levels. No changes have been made to the tax credits for R&D and the special effects industry. “Such measures give Greater Montréal a strong competitive edge over other North American cities. What’s more, by guaranteeing stable and predictable tax assistance for businesses, the new budget creates a business environment that fosters investment and job creation in Greater Montréal,” said Dominique Anglade, President and CEO of Montréal International.
“Foreign subsidiaries operate in a highly competitive global environment and this budget helps rebrand Greater Montréal as an attractive investment destination, while supporting the region’s most productive and innovative industries,” added Ms. Anglade. “Such companies make up only 1% of businesses, but account for 9% of jobs and 20% of Greater Montréal’s GDP. They also generate more than 85% of the 11,000 jobs in the video game and special effects industries alone.”
A new strategy for the aerospace industry
Montréal International congratulates the government on its commitment to work with industry stakeholders to develop a new growth strategy for the aerospace sector. “Such a strategy will help Greater Montréal maintain its leadership in the aerospace industry, while attracting new foreign investment projects,” explained Ms. Anglade.
Montréal International also applauds the government’s plan to establish major logistics hubs in the Contrecœur and Vaudreuil-Soulanges areas. Having such hubs will help attract foreign investments in manufacturing sectors and value-added distribution centres.
“In short, the new budget strengthens Greater Montréal’s economic identity and provides a solid platform for the region’s strongest sectors by stimulating job creation in knowledge-based and creative industries while attracting foreign investments,” concluded Ms. Anglade.
Last fall, Montréal International submitted a number of recommendations to the Québec Taxation Review Committee based on an analysis of the four programs that make Greater Montréal attractive to businesses, i.e., the tax credits for R&D, the development of e-business, the production of multimedia titles, and film or video production services. To read the submission, click here.
Created in 1996, Montréal International is the result of a private-public partnership. Its mission is to act as an economic driver for Greater Montréal to attract foreign wealth while accelerating the success of its partners and clients. Its mandates include attracting foreign direct investments, international organizations and international strategic workers as well as promoting the competitive and international environment of Greater Montréal. Montréal International, a non-profit organization, is funded by the private sector, the governments of Canada and Québec, the Communauté métropolitaine de Montréal (Montréal Metropolitan Community) and the City of Montréal.
Since its creation, Montréal International has helped to attract $10.6 billion in foreign direct investments to Greater Montréal. From these investments, 52,000 jobs have been created or maintained. To date, MI’s activities have also allowed almost half of some 60 international organizations to establish themselves in the city and attract and retain more than 9,000 international strategic workers.