ATB released its second Indigenous impact report, highlighting the contributions of Indigenous Albertans to the economy and the gaps where their impact could be amplified.
If you don’t measure something, how can you track its growth?
This question is at the core of what the report aims to accomplish, according to Patrick Twinn, ATB’s director of Indigenous relations.
“I think our goal is to have this report as a tool to be able to benchmark progress through key metrics and measures,” Twinn said.
The Indigenous economy kicked $9.2 billion into Alberta’s gross domestic product (GDP) in 2023, which is roughly three per cent of the total provincial GDP, up from $6.74 billion in 2019.
Twinn noted the increase, adding that it was indicative that Indigenous contributions to the economy aren’t just a positive step for Indigenous Albertans but also for the whole province.
“Number 1 was around just participation in the labour market. So there was a gap when you look at Indigenous participation,” he said.
According to the report’s estimates, increasing the Indigenous participation in the labour market could “raise Alberta’s GDP by two per cent to three per cent (to $11 billion from $8 billion).”
The report showed that “approximately 52 per cent of First Nations people on reserve did not have a high-school diploma in 2021 and only four per cent had a bachelor’s degree or higher,” while 27 per cent of non-Indigenous people had a bachelor’s degree or higher.
The report suggested two key methods of decreasing the income gap. The first is to increase participation in the labour market and the second is to increase representation in higher skill jobs.
In its conclusion, the report discusses what’s needed to close the gaps and the expected benefits of doing so.
“For progress to be made in these areas, investment is required in developing capacity within Indigenous communities, and the starting point for that is to increase the number of Indigenous individuals with a university-level credential. This will provide the foundational skills needed for Indigenous individuals to become entrepreneurs and to play a significant role in the future workforce,” says the report.
The report said closing the income gap could increase Indigenous household spending by $3.2 billion, which it said could add more than 13,000 jobs and generate tax revenues of $600 million. These estimates were based on Indigenous participation in the labour market increasing to 76 per cent, with an unemployment rate of six per cent.
“Hopefully folks utilize this as a tool to stimulate conversation, because it does provide some very concrete and, I would say, tangible data around the economic progress — while also highlighting some of the gaps,” Twinn said.
Addressing the various gaps is key to achieving broader reconciliation goals, but Twinn pointed to the improvements to the economy with more Indigenous involvement as a vital takeaway from the report.
“Of course, reconciliation is a right thing to do, but it’s also a strategic imperative for Alberta’s future, because when the indigenous economy is strong and healthy and vibrant, Alberta’s economy is also stronger, more vibrant, more healthy.”