this post was submitted on 05 Dec 2025
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Among the major announcements in the Liberals' Nov. 4 budget is a proposed $1-billion over four years to Transport Canada for an Arctic Infrastructure Fund (AIF), which will invest in major transportation projects in the North that have dual-use applications for civilians and the military. These can include airports, seaports, and all-season roads and highways, according to the budget document.

Huebert told The Hill Times that his biggest question regarding the AIF is what types of projects will it support, and whether security considerations will be at the forefront in the planning for these projects.

Prime Minister Mark Carney (Nepean, Ont.) announced back in June that Canada, along with allies in the North Atlantic Treaty Organization, agreed to invest five per cent of annual GDP on defence by 2035. That pledge will be divided into an investment of 3.5 per cent of GDP on core military capabilities, with the remaining 1.5 per cent invested in defence and security infrastructure, including air and sea ports, telecommunications, emergency preparedness systems, and other dual-use investments intended to serve defence and civilian readiness.

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Kent Fellows, an assistant professor in the economics department and the School of Public Policy at the University of Calgary, told The Hill Times that the AIF is a good idea and shows Ottawa is taking the Arctic seriously, adding that improving trade infrastructure in the North leads to economic benefits for all of the country.

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Pierre Leblanc, principal of Arctic Security Consultants and a retired colonel and former commander of the Canadian Forces in the Arctic, told The Hill Times that the AIF indicates the government is “shifting the centre of gravity” towards defence in the Arctic. He argues that current global threats to Canada’s national security, including from China, are possibly the worst he’s seen.

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