Highlights
- 35 RCMs or territories are not covered by a “fonds local de solidarité” (FLS);
- Contribution from the local community to create an FLS decreases from $250,000 to $50,000;
- Québec government will provide $3.5 million to offset the reduction in local contribution;
- Fonds locaux de solidarité FTQ will make a $750,000 credit available for each RCM or territory not covered, for a total of $26.25 million;
- $31.5 million in investments planned, taking into account contributions from the local community, the Government of Québec and the Fonds locaux de solidarité FTQ
Montréal, March 28, 2017 – The Fonds locaux de solidarité FTQ, a limited partnership created 25 years ago by the Fonds de solidarité FTQ and the Fédération québécoise des municipalités (FQM), oversees the “fonds local de solidarité” (FLS), a network of investment funds that backs small and mid-sized businesses with loans of up to $100,000. Each FLS is managed by an RCM or the equivalent. Currently, 73 of the 108 local development territories have an FLS.
The FLS have financed 4,046 business projects since their creation over 25 years ago, granting $122 million in loans and creating and maintaining 33,395 jobs in the process.
To encourage the creation of an FLS in every territory, the Government of Québec, the Fonds de solidarité FTQ and the FQM have agreed on a new approach for the uncovered territories whereby the local contribution will be reduced and the contribution of the Fonds will increase by $26.25 million. This new partnership was announced in the 2017-2018 Québec Budget unveiled today.
Quotes
“In partnership with the government and the FQM, these changes will allow us to expand the FLS network all across Québec and drive local economic growth and job creation.”
Gaétan Morin, President and Chief Executive Officer of the Fonds de solidarité FTQ
“With this concrete action, the government is not only recognizing the leadership of the FQM and the RCMs, but also the important role the FLS play in regional economic development.”
Richard Lehoux, President of the Fédération québécoise des municipalités
“The new measures announced in the 2017-2018 Québec Budget will make it easier to set up a local solidarity fund in the 35 territories that don’t have one. In the months ahead, the Fonds locaux de solidarité FTQ team will start working with the elected officials concerned to make this happen.”
Éric Desaulniers, General Manager of the Fonds locaux de solidarité FTQ
About the Fonds de solidarité FTQ
The Fonds de solidarité FTQ is a development capital fund that channels the savings of Quebecers into investments. As at November 30, 2016, the organization had $12.2 billion in net assets, and through its current portfolio of investments has helped create and protect over 187,000 jobs. The Fonds is a partner in more than 2,600 companies and has nearly 618,000 shareholder-savers. fondsftq.com
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Information for media representatives only:
Patrick McQuilken
Senior Advisor, Media Relations and Communications
Fonds de solidarité FTQ
Telephone: 514 850-4835
Mobile: 514 703-5587
Email:
pmcquilken@fondsftq.com