Ontario Construction News
The Canada Infrastructure Bank (CIB) is expected to fall well short of its $35 billion investment target by 2027-28, according to a new report by the Parliamentary Budget Officer (PBO).
The report, released this month, estimates that the federal Crown corporation will disburse just $14.9 billion by that date—less than half its goal and about $1 billion lower than projections in the PBO’s 2021 analysis. By 2029-30, cumulative disbursements are expected to reach $20.7 billion, still significantly short of the $35 billion benchmark.
The CIB was launched in 2017 to attract private and institutional investment in infrastructure projects deemed too risky or costly for the public or private sectors to undertake independently. The bank has set sector-specific investment targets across five priority areas: public transit ($5 billion), green infrastructure ($10 billion), trade and transportation ($5 billion), broadband ($3 billion), and clean power ($10 billion). An additional $500 million is earmarked for project acceleration initiatives.
Despite its broader underperformance, the CIB has surpassed its target in one key area. The bank has already met its $1 billion goal for Indigenous infrastructure investment and is projected to disburse $3.1 billion in Indigenous projects by 2027-28. That figure is expected to rise to $5.4 billion by 2029-30.
The report does not detail reasons for the slow pace of disbursements, but it reiterates the conclusion of the 2021 review, which found that the bank’s progress was not on track to meet its targets. It also includes updated forecasts based on additional years of data, as well as a brief overview of the mix between public and private co-investors participating in CIB-backed projects.
The findings are likely to raise further questions about the effectiveness and accountability of the CIB, which has faced criticism since its inception over its structure, transparency, and ability to deliver on infrastructure priorities.
The full report is available on the Parliamentary Budget Officer’s website.
