First Nations: billions in business
What if economic reconciliation in Canada included government committing to purchase more services, goods, and supplies from First Nations?
Michael Bonshor, Indigenous businessman.
What if economic reconciliation in Canada included government committing to purchase more services, goods, and supplies from First Nations?
For Michael Bonshor, it's a good place to start.
Bonshor is from the Dzawada'enuxw First Nation on Kingcome Inlet in BC. He is president and CEO of Visions First Nations Financial Services, managing director of the First Nations Business Development Association, and a director of the National Indigenous Economic Development Board.
Bonshor has worked with First Nations in business and economic development for over 25 years and advised our 2021 event.
"Canada has targeted to have 5% of its goods and services procured from First Nations and, right now, they do less than 1%. BC hasn't set a target yet, but they're starting to talk about procurement now," he says.
"If they were both targeting 5%, just BC and Canada, it would be about $1.5 billion for Indigenous companies.
"And that's ongoing, right? That's year-round, that's around the country. That could be foundational because that could evolve into talks about Indigenous participation in the economy — not just on projects, but overall."
Bonshor points to Yukon's procurement policy, launched in February, as a model. "They've got a Yukon First Nations policy built-in within their overall policy, so that applies to all aspects of Aboriginal rights. They've got policies and measures to make Yukon First Nations procurement happen. They're committed to annual planning to give Yukon First Nations a chance to plan for some success. It's great."
But of BC, he says: "We're not there yet. The province is going to spend $500 million on a hospital in Terrace, it's going to spend $800 million on a hospital in Cowichan, but there isn't a business policy in place to support Indigenous participation. That's one example where the rubber isn't really meeting the road."
Economic reconciliation is a key focus of our Indigenous Partnership Success Showcase, and Bonshor says that if economic reconciliation is going to happen in a meaningful way, it will start and be demonstrated with successes in First-Nation-owned businesses.
"The word 'reconciliation' gets thrown about quite a lot. The transition from Indigenous rights to economic opportunity is really where the work will be done."
But, he says, First Nations need to build capacity to play their part.
"There are a lot of capacity challenges. There are 200 First Nations in BC, and we've been able to track down only around 80 or so that have an actual economic development entity, and they are operating at different levels in terms of their own experience, expertise and capacity.
"There are a lot of communities that don't have a functional business entity. Opportunities are out there, but you need a real strong team to make them happen: a really strong board, a functional board, capable management and a technical team to put through business deals or business opportunities.
"The way that it stands right now, there are a lot of separate deals being struck with different bands. There isn't a common approach, so it's really left to each nation. The more organized you are, the more capability you have as a nation."
Bonshor adds: "The idea, in the long run, is to help to raise the level of all First Nations business-owned entities and development corporations, so they are operating, functioning, and succeeding in their territories."
And he says governments have a role to play in helping bring about that capacity.
Look for more on these issues at the fourth annual Indigenous Partnership Success Showcase returning June 1-2, 2023. Early-bird tickets are available for the historic event until January 15th, 2023.