BDC Releases Annual Report

The annual report of the Nova Scotia Business Development Corporation released today shows that the corporation is making a major economic impact on rural parts of the province.

For the fiscal year that ended March 31, 2000, the corporation provided $10.2 million in new financial assistance to 35 businesses across Nova Scotia. As a result, these companies were able to generate payrolls of $20 million, produce sales of $112 million and create and maintain employment for 1,400 Nova Scotians.

"The Business Development Corporation assists businesses that are, in many cases, major employers in their communities with significant economic impact locally," said Gordon Balser, Minister of Economic Development. "These employers are key sources of their communities' prosperity, not only through their payroll, but through the generation of tax revenues and support for community initiatives."

The corporation provides financial assistance to about 600 businesses, 90 per cent of which are located in rural Nova Scotia. These firms employ 10,000 Nova Scotians and generate another 12,000 jobs through spinoff activities. Based on the wages earned by these Nova Scotians, officials estimate the province receives $45 million in annual tax revenues.

The corporation's lending activity is directed primarily at manufacturers and processors. Food processors make up the largest component, accounting for 34 per cent of the total financial assistance provided by the provincial corporation. These firms, all in rural areas, produce value-added exports by processing fish, meat, poultry, vegetables and fruits.

"The corporation ensures that all businesses throughout the province have equal access to capital for expansion and start-up, regardless of location," said John Risley, chairman of the board. "Such support will have a positive impact on the economic future of our province."

The corporation also administers 17 industrial parks with a net value of $24 million. These parks consist of land in various stages of development, from undeveloped to fully serviced lots.

The Nova Scotia Business Development Corporation is managed by a board of directors, which reports to the legislature through the minister of Economic Development.