Canada's Indigenous Procurement Fails, Billions in Contracts Misused

Federal watchdog slams Canadas Indigenous business procurement strategy for major failures, with billions in contracts awarded without verifying Indigenous ownership. The program, worth billions each year, sets aside at least five percent of government work for businesses at least fifty-one percent owned and run by Indigenous people. However, the Procurement Ombuds report reveals a systemic disregard for rules, with about one point six billion dollars in annual contracts awarded without verifying Indigenous ownership. Indigenous leaders and the ombud warn this undermines economic reconciliation and risks billions more in upcoming spending on defense and infrastructure. The governments Indigenous Business Directory has been cleaned up, but lacks clear rules on monitoring subcontract work. Officials promise overhauls, including Indigenous control of verification and policy updates by spring, though full changes wont hit until 2027, leaving legitimate suppliers waiting for a fairer system.

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