Federal Contributions to Canadian Tourism
A Review of Federal Expenditures for Fiscal Year 2005 / 2006

Executive Summary

In 2005 / 2006 FY, the federal government spent over $400 million on various programs, projects, and activities that directly impacted tourism. These direct tourism expenditures consisted of:

• Visitor services and experiences (attractions, events, and direct visitor contact)
• Acquisition of assets, capital investment, and various other business development expenses directly related to tourism
• Human resource development specific to tourism
• Tourism-specific regional-development programs
• Tourism marketing and research
• Tourism infrastructure

A further $300 million were found to indirectly impact tourism, including:

• Expenditures for programs that were deemed to be primarily for local residents or to support local artistic/cultural groups.
• Operational expenditures for organizations involved only tangentially with tourism, such as economic development agencies that operate programs that build management capacity of small and medium-sized enterprises.

Overall Federal Government Tourism Expenditures
Fiscal Year 2005/2006:

Category of Expenditures	Amounts FY 2005 - 2006
Direct tourism expenditures/approvals	$407.6 million
Indirect tourism expenditures/approvals	$308.1 million

Of the reported expenditures directly impacting tourism, many reflect the federal government’s achievements towards addressing the six priorities of the National Tourism Strategy (NTS).  The following chart itemizes these expenditures totalling $407.6 million along with the corresponding NTS priority.

Direct Federal Government Expenditures by NTS Priority
Fiscal Year 2005/2006:

Priority	Amounts FY 2005 - 2006
1. Product Development	$287.5 million
2. Human Resources	$6.1 million
3. Tourism Information and Statistics	$13.3 million
4. Tourism Marketing	$100.7 million
Total	$407.6 million

In addition to the expenditures that directly and indirectly impact tourism, the federal government invested in excess of $700 million in common use such as border crossing and transportation infrastructure.  While this infrastructure is necessary to tourism, these investments are motivated by other considerations.