Thank you, Mr. Speaker. Today, I am going to provide my response to the 2021 budget address, which was tabled by the Minister of Finance on February 4, 2021. In preparation for my budget reply today, I reviewed my remarks from last year's budget reply, along with my remarks from my response to the Commissioner's address delivered last May. Oddly enough, much of what I said last year in those two speeches is largely still how I feel right now about the budget before us today.
Mr. Speaker, as a Member of this Assembly with over 50 years of business experience in the private sector, my strengths and main concerns rest with the economy. First of all, this budget does not provide any long-term solutions to address the growing deficit we have. Perhaps the government will address this issue in future years under their proposed government renewal strategy, but this is something that has to be addressed and done so in a balanced way.
Unfortunately, at the moment, our government does not have a concrete plan for the territory's economic recovery from the effects of COVID-19. I understand the Premier will be sharing a draft framework for a recovery plan with MLAs during this session, which I welcome and am looking forward to reviewing. However, I urge the Premier and Cabinet to accelerate the work being done in this area and to make the recovery plan available to the public as soon as possible. Doing so would help reassure both the public and the business community.
Mr. Speaker, stronger emphasis must be placed on the economy in order to help the private sector remain as insulated as possible over the course of this pandemic, and beyond. We need to have a strong economy to ensure that our residents continue to have a livelihood, as well as hope and faith in their government. We need to continue investing in and pursuing some of the large infrastructure projects that were outlined in this Assembly's list of priorities. We need to continue advancing the Taltson hydro expansion, the Slave Geological Corridor, and the Mackenzie Valley Highway project. We also need to invest in the expansion of Internet and cellular services for all NWT communities and highways. These projects will surely provide significant economic activity for the NWT and would provide long-lasting infrastructure that will serve our territory for many years to come.
We also need to increase the level of diversification within our economy. We must expand the knowledge economy; expand tourism across all regions of the NWT; increase the number of journeypersons and apprentices in the small communities and regional centres; and help the sectors hurting the most right now, which includes mining, oil and gas, accommodations, and the food service industry.
Additionally, Mr. Speaker, we need to support small- and medium-sized businesses wherever possible. Lowering the small business tax was a step in the right direction in this regard. Another helpful step we could take is to extend all deferred payments for BDIC loans by at least six months or more, as well as rolling back the compound interest on the principal. More than ever before, we need to be more creative and open-minded to new business ideas to ensure our economy will recover and be profitable once again.
Mr. Speaker, another way we could help small and medium-sized businesses is in the reduction of red tape and the elimination of excessive regulation within the economy. This includes refining procurement policies like the Business Incentive Policy, the Northern Manufactured Products Policy, and the government's approach to public-private partnerships. Strengthening these areas of our economy will help spur economic growth and help to retain more of the wealth that is generated here in the NWT. We must also support and promote local competition by increasing the level of awareness of NWT contracting opportunities and actively encouraging NWT businesses to apply for BIP status.
In addition, Mr. Speaker, our government must continue to collaborate with Indigenous governments in the development and implementation of regional mineral strategies and in turn work to increase resource exploration and development as well as increase funding for mining incentive programs. I fully support increased resource exploration and development as these areas are our biggest economic drivers.
Our government also needs to focus on settling and implementing land, resource, and self-government agreements with Indigenous governments. We must settle all major outstanding and ongoing land claim negotiations. Some negotiations have been going on for decades, so let's quit dragging our feet and finding excuses not to settle these outstanding claims. After some of these outstanding claims are settled, the NWT is sure to become a much more attractive and stable location to do business and gain investments.
As a result of the damages inflicted by COVID-19, we as a government must initiate our economic recovery. We must keep moving forward and work to rebuild our stagnant economy. We must be innovative and compassionate. We must be willing to think outside the box from how things have normally been done. We cannot only operate on policies driven by bureaucracy, and we cannot lose site of the people we are here to serve. As I said before, we must also have open minds, open hearts, and be open for change.
I want to make something clear. For the most part, I am very largely happy with how the government has handled the health response of this crisis. Our Chief Public Health Officer, Dr. Kandola, took strong measures, closing our borders and restricting all travel in and out of the territory. We acted fast, and it has paid off well. Now, we just need to begin focusing on the post-pandemic economic path that we want to pave for ourselves. Thank you, Mr. Speaker.