Ottawa: Canadian Prime Minister Mark Carney has announced his plan to create Canada’s first national sovereign wealth fund, the Canada Strong Fund. The initiative aims to serve as an investment vehicle to finance major projects of national interest in collaboration with the private sector.

According to Emirates News Agency, the Canada Strong Fund will be launched with an initial federal contribution of $25 billion. The fund is designed to strategically invest alongside the private sector in Canadian projects and companies that are pivotal to the country’s economic transformation. This includes investments in sectors such as clean and conventional energy, critical minerals, agriculture, and infrastructure.

The returns generated from these investments will be reinvested to grow the Canada Strong Fund, thereby strengthening its capacity over time. As the fund expands, it will focus on directing capital toward investments that offer the highest potential return for Canada and its citizens.

To enable public participation, the federal government plans to introduce a “retail investment product” similar to a mutual fund or pension scheme. This will allow Canadians to invest in the fund and earn dividends, providing an opportunity for individuals to contribute to and benefit from the fund’s growth.