Canada has unveiled a new artificial intelligence (AI) strategy aiming to create 250,000 jobs by 2031. To support domestic AI companies, the Canadian government plans to establish a new technology fund worth 500 million Canadian dollars. This strategy is expected to increase Canada’s gross domestic product (GDP) by 3%, generating an economic benefit equivalent to 200 billion Canadian dollars. (May 5, Kathmandu)
On Thursday, Canada announced its new AI strategy, which sets a target of creating 250,000 jobs by 2031. According to Reuters, the strategy includes a 500 million Canadian dollar (approximately 365 million US dollars) technology fund to support domestic AI companies. This initiative, named “AI for All,” was announced by Prime Minister Mark Carney.
Amid significant investments by major Canadian firms in developing new tools for faster information processing and in historically low productivity growth sectors, Carney unveiled the strategy from Toronto. The plan forecasts a 3% increase in Canada’s GDP. The commercialization and application of AI across key sectors are expected to boost labor productivity and unlock economic potential valued at roughly 200 billion Canadian dollars.
Currently, approximately 800,000 workers are employed in Canada’s digital sector, contributing over 140 billion Canadian dollars to GDP. Of these, 150,000 jobs are directly related to AI. Compared to US tech companies, Canadian AI firms face a shortage of capital. To address this, Canada plans to launch the 500 million Canadian dollar “Canadian Tech Growth Fund,” which will also provide opportunities for the federal government to make equity investments in Canadian AI companies.
To improve access to AI tools for small and medium-sized enterprises, the government will activate a 500 million Canadian dollar initiative through the Business Development Bank of Canada. Additionally, Canada reiterated plans to introduce new consumer privacy legislation aimed at protecting children’s information and online activities, combating deepfakes, and strengthening control over personal data. The government will invest 50 million Canadian dollars to monitor AI-related risks and conduct transparent evaluations of AI models, although timelines for implementing these regulations remain unspecified.
