How Canada spent $1B on military aid to Ukraine
In the year since Russia’s latest invasion of Ukraine, Canada has committed more than $1 billion in military aid to help Ukrainians defend themselves from what the federal government has called “unjustifiable” and “unthinkable” deadly attacks ordered by Russian President Vladimir Putin.
Asked Thursday if he is prepared to sustain this level of support for as long as the war lasts, Prime Minister Justin Trudeau said that Canada “will continue to do whatever is necessary to ensure that Russia does not benefit from having illegally invaded Ukraine.”
“We will stand with the people of Ukraine, as long as it takes,” Trudeau said, adding that the reason Canada is willing to spend more to send more is because the Ukrainians’ fight is not just about their country.
“The consequences of Canadians not standing with Ukraine, of the world not standing with Ukraine right now, could be devastating and long-reaching for the entire planet. That’s why Canada and our allies will continue to stand with the people of Ukraine as long as it takes,” the prime minister said.
In addition to the military assistance, Canada has also provided Ukraine with financial and humanitarian assistance while levelling an ever-increasing list of Russian sanctions and welcoming Ukrainians seeking a safe haven from the war.
Here’s a breakdown of how Canada’s money has been spent as of mid-February 2023, as well as the status of shipments of supplies and military deployments, according to the Department of National Defence.
BATTLE TANKS AND ARMOURED VEHICLES
Late last month, on the heels of other allied nations doing so, Canada announced it was sending four combat-ready battle tanks to Ukraine and would be deploying “a number” of Canadian Armed Forces members to train Ukrainian soldiers in a third country on how to operate them.
Defence Minister Anita Anand made the announcement alongside Chief of Defence Staff Gen. Wayne Eyre, vowing that in addition to the initial four Leopard 2 tanks, as well as spare parts and ammunition, Canada may send more tanks at a later date.
“These heavily armoured and highly protected vehicles provide soldiers with a tactical advantage on the battlefield, thanks to their excellent mobility, their firepower and there’s their survivability,” said Anand at the time. “These tanks will allow Ukraine to liberate even more of its territory and defend its people from Russia’s brutal invasion.”
The now-delivered tanks came from the Canadian Armed Forces (CAF) inventory. Specifically, they’ve been pulled from Edmonton, Alta. and Gagetown, N.B.
A CAF team of trainers is now in place teaching Ukrainian crews how to operate them.
Canada is also in the process of delivering 200 armoured vehicles, on top of eight initial vehicles delivered last May. Procured through the Canadian Commercial Corporation (CCC), these vehicles are being purchased from Roshel, at a cost of $92 million.
Called “Senators,” these armoured vehicles are described as “security task vehicles that are easily maneuverable and adaptable.” They can have weapons mounted on them, and provide for the safe transport of personnel and equipment. It will be up to Roshel to deliver the fleet to Ukraine, which is expected to happen by summer 2023.
In addition, Canada has also delivered most of a June commitment of 39 armoured combat vehicles procured through CCC from General Dynamics Land Systems Canada.
Valued at $245 million, this aid offering includes add-on armour and radio communication systems as well as in-service support such as spare parts and manuals.
SURFACE-TO-AIR MISSILE SYSTEM
In January, Canada made one of its most sizeable military aid contributions, when Trudeau announced the government was purchasing a U.S.-made National Advanced Surface-to-Air Missile System (NASAMS) for Ukraine.
With air defence one of the embattled country’s top priorities, the NASAMS is designed to help protect populated areas and critical infrastructure against drone, missile, and aircraft attacks.
The equipment and associated munitions Canada is donating to Ukraine is valued at approximately $406 million, the funding for which comes out of the additional $500 million in military aid to Ukraine that Trudeau announced in November 2022.
Because the United States is delivering this system on Canada’s behalf, the timelines for when it’ll be in Ukrainian hands has yet to be confirmed.
M777 HOWITZERS, 155MM AMMUNITION
Between April and June 2022, Canada provided Ukraine with four M77 Howitzers from the Canadian Armed Forces’ inventory as well as 10 replacement barrels to sustain these artillery guns that were sourced from the U.S. government. As of this month, the federal government says these supplies are “mostly delivered.”
And, between April and October 2022 Canada delivered 27,000 rounds of 155 mm ammunition for the M777 Howitzers, valued at more than $100 million. Of this, approximately 20,000 rounds of ammunition were sourced from the U.S. government, and the rest from CAF stock.
ANTI-TANK WEAPONS, ROCKET LAUNCHERS
Last spring Canada sent 100 Carl-Gustaf M2 anti-tank weapons systems and more than 3,000 rounds of 84mm ammunition from the CAF inventory. Typically a two-person job to operate, the military says these are primarily used as anti-armour weapons and are “an exceptionally effective tool.”
In March 2022 Canada also delivered 4,200 M72A5-C1 short-range, single-shot rocket launchers to defend against light armoured vehicles and structures, as well as more than 7,000 C13 hand grenades.
SATELLITE IMAGERY AND DRONE CAMERAS
Canada has contributed $22 million to a multilateral program that will allow Ukraine to receive commercial satellite imagery that is rapidly collected and disseminated by imagery providers.
The funding will give Ukraine one year of access to high-resolution imagery to help identify the location and composition of Russian forces.
In October, Canada vowed to provide $2 million for a project between the CAF, Department of National Defence, the Communications Security Establishment and Telesat, to provide the Ukrainian government with satellite communication services.
Between May and October, Canada announced and delivered 76 specialized drone cameras including in-service support and repair, which the government says is worth $100 million.
SMALL ARMS AND AMMUNITION
Last February Canada started its lethal aid provisions small — literally. At the time the government sent Ukraine more than $10 million in small arms and ammunition, largely from the CAF inventory.
This included medium and heavy calibre sniper rifles and ammunition, more than 200 machine guns, and 600 pistols.
Delivered in March, this tranche of aid also included 7,000 anti-tank rockets, and 1.5 million rounds of ammunition.
NON-LETHAL AID, MEAL PACKS, WINTER GEAR
Last March Canada delivered more than 10,800 pieces of personal protective equipment such as fragmentation vests, ballistic helmets, night vision wear, gas masks and body armour to Ukraine.
This shipment also included medical supplies and nuclear protective equipment, procured by the CCC as well as coming from CAF inventory.
Around the same time, more than 640,000 individual meal packs were donated from Canada’s stockpile.
Between October and November, Canada provided more than 500,000 pieces of winter clothing— boots, parkas, thermal layers, gloves, socks, and headwear—to Ukraine’s armed forces. Of this, 400,000 pieces of clothing came from Canadian companies such as Kamik Boots, Mooseknuckles, and Canada Goose, and is worth a total of $25 million. The other 100,000 pieces of winter clothing were donated from CAF inventory.
All of the winter clothing has been delivered, while some of the other equipment included in this package—generators, energy storage devices, sleeping bags and thermal blankets—is still making its way over.
CONTRIBUTIONS TO MILITARY OPERATIONS
In addition to providing lethal and non-lethal military equipment, Canadian Armed Forces troops are also involved in training Ukrainian troops and moving supplies as part of various operations in Europe.
In Poland 40 combat engineers from CFB Edmonton are supporting an Operation UNIFIER training program, that as of January has trained nearly 100 Ukrainian combat engineers on skills such as reconnaissance, the use of explosives for demolition work, and demining. Earlier in the war, Canada also deployed personnel to Poland to help thousands of Ukrainian refugees with administrative support, limited medical care, mental health supports and spiritual services.
In the United Kingdom, 170 Canadian Armed Forces personnel—largely from the Edmonton-based 3rd Battalion Princess Patricia’s Canadian Light Infantry— are training hundreds of new Ukrainian military recruits on the basics of battle in collaboration with the U.K.’s Operation INTERFLEX.
In Scotland, at the Air Mobility Detachment Prestwick, 55 Canadian Armed Forces personnel as well as three CC-130J Hercules aircraft have over 200 flights, helped transport more than seven million pounds of Canadian aid as well as supplies from other allied nations in support of Ukraine.
From groceries to booze, payday loans to plane tickets — here's what the budget means for your wallet – CBC News
With inflation still near its highest level in decades, the federal budget unveiled in Ottawa Tuesday offered a lot of talk about making life more affordable for Canadians — but few details about how it’s all going to work.
One of the biggest items leaked prior to the budget’s release is something the government is calling a “grocery rebate” meant to mitigate the cost of grocery prices that are still rising at an annual rate of more than 10 per cent.
It’s an extended version of the existing GST rebate cheque program, which gives cash payouts to refund GST payments incurred by low-income Canadians.
The government says the rejigged program will put an extra $467 into the pockets of the average family with two kids, and $234 for a single person. Government estimates suggest they think roughly 11 million people will qualify for the program, which is to be doled out via a quarterly cheque or direct deposit.
Strictly speaking, the government isn’t requiring that the money be spent on groceries. But the program’s branding suggests Ottawa hopes it will deliver $2.5 billion in relief where many Canadians need it most — in the checkout aisle.
That’s good news for people like Krystle Kisman, a single mother from Burlington, Ont., for whom putting food on the table has been a major source of stress of late.
“I remember I used to spend $200 every two weeks and I would get double what I’m getting now,” she told CBC News this week. “It’s tough. A lot of times I use my child tax credit towards our food for the month.”
The grocery program is targeted at people like Kisman, who have had to face impossible choices between paying rent and paying for food.
There’s very little else in the budget in the way of direct payments to Canadians to blunt the impact of inflation. But the document is also sprinkled with programs and policy ideas aimed at helping consumers keep a little more of the money they already have.
In recent weeks, the beer and alcohol industry has been sounding the alarm about a looming hike to the federal tax on beer, wine and spirits. The so-called excise tax is pegged to inflation, which means it was on track to increase by more than six per cent this weekend — a jump that would have taken the toll to 73 cents on a litre of wine and more than 37 cents for a litre of beer.
Those excise fees are paid by brewers, wine and spirit makers, but the costs filter down for consumers as they add to the cost of doing business, and pushing up retail prices.
The government announced in the budget that it will slash that increase to two per cent for this year, well below the inflation rate.
The budget also aims to rein in some of the more exorbitant costs that some Canadians pay to borrow money. While rates on conventional personal and business loans from major lenders tend to hover between the low single digits for a mortgage to slightly over 10 per cent for other forms of unsecured debt, that’s not true for all types of loans.
That’s why the budget targets what the government calls “predatory lending” by changing loopholes that currently allow some lenders to charge rates as high as 47 per cent per year.
The government says it’s going to amend the Criminal Code to cap those rates at 35 per cent, in line with existing regulations already on the books in Quebec.
Payday loans are currently exempt from that legislation due to various loopholes. Those loans are typically for small amounts of up to $1,500 and only for terms of up to two months — but despite their short term, their costs are far higher than other loans, as annualized rates can sometimes approach 400 per cent.
The government says it plans to tighten and eliminate some of those loopholes by requiring payday lenders to charge no more than $14 for every $100 borrowed. And says it will consult with the provinces on additional revisions on how to further regulate the payday-lending industry.
Credit card fee reductions
The government also laid out new rules for another source of frustration for small businesses and consumers: credit card fees.
Every time a customer swipes a credit card to pay for a purchase, the vendor pays what’s known as an interchange fee to the credit card company processing the transaction.
In Canada, such fees on some cards can amount to up to three per cent of the purchase price — far higher than they are in jurisdictions where they are capped.
While the budget stops short of imposing such a cap, the government did say it has struck a deal with the major credit companies that will see interchange fees reduced by about 27 per cent for about 90 per cent of the businesses that accept credit cards.
Dan Kelly, president of the Canadian Federation of Independent Business, said the lowering of fees is a good start, but more is needed. “A 27 per cent reduction in small business merchant fees is significant, but more details are needed to determine how many small businesses will benefit from this plan,” he said.
Government estimates suggest the new fee structure will save small businesses $200 million a year, savings that should theoretically filter down to consumers since a court ruling last fall established that merchants are allowed to pass those fees on to consumers directly now.
Credit card fees aren’t the only hidden fee facing scrutiny. Although it offers few details, the government says it wants to crack down on what it calls “junk fees” that get tacked on to goods and services.
The government says it wants to work with the provinces and various regulators to examine things like cellphone roaming charges, ticket fees and excessive baggage fees — just a few examples of the sort of nickel-and-dime fees that annoy consumers.
Travel fees set to increase
But even as the government talks tough about getting rid of hidden fees, it’s actually increasing one that Canadians pay every time they get on a flight.
The Air Travel Security Charge is one of many fees that flyers pay when they buy a plane ticket. The money goes to funding and improving vital airport services like passenger screening and baggage handling.
First implemented in 2002 after the Sept. 11 attacks, the fees have not increased since 2010, when they jumped up by more than 52 per cent to their current level.
The budget has earmarked an extra $1.8 billion to help fix the travel chaos that Canadians have experienced at airports of late, but it will come at a hefty cost for consumers. The Air Travel Security Charge is set to increase by almost 33 per cent next year.
That will bring the added fee on a one-way ticket within Canada to $9.94, on a flight to the U.S. to $16.89, and on a trip overseas to $34.42.
Economist Armine Yalnizyan said that, coming from a government claiming to be focused on helping Canadians deal with high inflation, the budget offered little of substance.
“Something is better than nothing,” she said of the grocery rebate program, “but affordability got the short shrift in this budget.”
She said tackling junk fees plays well among voters who can afford to do things like go on vacation and buy concert tickets, but they don’t help with the pain of necessities like food, shelter, and gas.
“They are catering to people who are inconvenienced by problems at the airport and the Taylor Swift crowd and saying ‘we are going to deal with Ticketmaster maybe’ but inconvenience is different than going hungry.”
“You don’t want to worry about inconvenience at a time of basic affordability.”
Here are 5 ways Budget 2023 will impact your wallet
Much of the federal Liberal government’s 2023 budget is geared towards helping Canadian households make ends meet — or at the very least, for example, shaving a few dollars off the cost of a concert ticket.
Finance Minister Chrystia Freeland teed up the 2023 spending plans as providing support for vulnerable Canadians who are feeling stressed about their own budgets after a year of high inflation and rapidly rising interest rates.
Some proposed measures will make a direct impact on households, while others will change the kinds of charges and interest rates businesses can levy at Canadians.
Here are five big takeaways from the federal budget you’ll want to know about.
Tax rebate aimed at grocery affordability
One highly touted measure in the 2023 budget is a one-time tax rebate aimed at helping Canadians cope with rampant food inflation.
The so-called “grocery rebate,” as reported by Global News and others ahead of the budget’s release on Tuesday, would be aimed at lower-income households. It would be delivered through the existing GST tax credit mechanism, with an estimated 11 million Canadians and families expected to qualify to receive the support.
The rebate is expected to deliver $467 directly to a family of four, $234 to a single Canadian without kids and $225 to the average senior.
Despite the name, the government won’t be checking that the rebate is spent directly on groceries.
But given that prices for food from the grocery store clocked in at 10.6 per cent annual inflation in February and has remained in double-digits since the summer, groceries continue to be major stressors on household budgets.
The timeline for the rollout of this rebate is uncertain and depends on when and if the 2023 budget is passed in Parliament.
Cracking down on ‘junk fees’
In the 2023 budget, the Liberal government is declaring war on “junk fees” — defined as “unexpected, hidden and additional fees” that crop up on everything from concert tickets to airfare, from telecom services to excessive shipping costs.
Details were sparse on how and when the government would tackle these fees, but the budget said Ottawa would work with regulatory agencies, provinces and territories to reduce unfair and excessive costs on some common expenses.
The United States government recently announced a similar crackdown on fees as consumers have swiftly complained online in the past few years about the exorbitant amounts charged for tickets to popular concerts, for example.
While some measures in the 2023 budget might reduce what you pay on airfare, others could see those costs rise.
The air travellers security charge (ATSC), which is typically paid by passengers on their tickets and helps to fund security screening and baggage protection services in Canada, is set to rise under the 2023 budget proposals.
The ATSC rate for a round-trip domestic flight would rise almost $5 to $19.87 under the new regime, while an international flight will see the charge hiked by nearly $9 to $34.42 on a flight out of Canada.
Help on loans
The federal government also announced its plans to help Canadians dealing with high interest rates on some loans.
Debt-servicing payments have grown rapidly over the past year as the Bank of Canada raised interest rates in an effort to cool spending and take some stream out of inflation. A rise in the central bank’s benchmark policy rate affects multiple kinds of debt, including mortgages, lines of credit and credit cards.
For Canadians struggling with mortgage payments after a year of rate hikes, Ottawa proposed a new mortgage code of conduct in the 2023 budget.
Through the Financial Consumer Agency of Canada, the document would direct financial institutions to provide Canadians struggling to make mortgage payments with “fair and equitable access to relief measures.”
This could include adjusting payment schedules, extending amortizations on the loan or authorizing lump-sum payments, strategies some lenders already offer to clients who are in danger of defaulting on their mortgage.
Beyond mortgages, Ottawa is also planning to crack down on payday loans and predatory lenders.
The budget notes that these loans often target low-income and other vulnerable Canadians with a promise of quick relief at the cost of “very high interest rate loans” that can end up trapping consumers in a cycle of debt.
The Liberals are proposing to amend the Criminal Code to lower the threshold at which a rate of interest would be considered criminal from today’s annual rate of 47 per cent federally to 35 per cent, in line with the current rate in Quebec.
Payday lenders would also be able to charge Canadians no more than $14 per $100 borrowed under the new regime, bringing it down to the cap currently in place in Newfoundland and Labrador.
Standardizing chargers for devices
The federal government is also planning to cut down on the number of charging cables Canadians have lying around their kitchen drawers by standardizing the charging port for smartphones and other devices.
Following the lead of the European Union, which signalled it would mandate USB-C charging ports for small handheld devices and laptops by the end of 2024, Ottawa will also work with international partners to “explore implementing a standard charging port in Canada,” according to the budget.
The document said standardizing the charging port on phones and other devices could lower costs for Canadians and cut down on electronic waste.
Also in the vein of cutting down on waste, the Liberals are proposing a new “right to repair” framework for existing devices.
Currently, fixing broken appliances or devices can come with high fees or face delays when specific parts aren’t available.
The government is looking to roll out a framework in 2024 to make electronics easier to repair with spare parts expected to be readily accessible.
“By cutting down on the number of devices and appliances that are thrown out, we will be able to make life more affordable for Canadians and protect our environment,” the budget read.
Automatic tax filing to help low-income Canadians
Ottawa is also looking to help the estimated 12 per cent of Canadians who don’t currently file tax returns take advantage of benefits they might currently be missing out on.
Starting in 2023, the Canada Revenue Agency is expected to pilot a new “automatic filing system” to help vulnerable Canadians who don’t regularly file taxes receive the benefits they’re entitled to receive.
The government also intends to expand its existing auto-file program, File My Return, which sees low-income Canadians file returns by answering a few questions over the phone.
Ottawa plans to nearly triple the number of Canadians eligible for the auto-file program to two million by 2025.
PLAY to offer flights to Amsterdam from Hamilton airport
Amsterdam will be available to Canadian travellers on June 22
Hamilton, ON, March 28, 2023 – PLAY, a low-cost airline operating flights between Iceland and Europe, has added Amsterdam to its summer schedule. Tickets for the new route are now available for purchase, and the destination will be available for Canadian travellers when PLAY launches its inaugural flight out of Hamilton on June 22.
As a transatlantic carrier between Europe and North America, PLAY operates from its hub at Keflavik Airport in Iceland, perfectly positioned between the two continents.
From John C. Munro Hamilton International Airport, Canadian passengers can fly to Amsterdam for as low as $169. Travel for this new route will be facilitated through Schiphol Airport in Amsterdam.
Since its first flight in June 2021, PLAY has expanded its fleet from three Airbus A320neo aircraft to six in 2022 and will operate 10 Airbus A320/321neo aircraft in 2023. The average age of PLAY’s aircraft is just 2.3 years, making the passengers’ journey comfortable, safe and reliable. With a network of nearly 40 destinations and over a million passengers flown since its launch, PLAY has a solid track record of an impressive 87 per cent on-time performance in 2023.
In Iceland, PLAY is a listed company in the Icelandic stock market with around 4.000 shareholders.
“We are thrilled to launch our services to Amsterdam and connect more customers to our affordable travel options,” said Birgir Jónsson, CEO, PLAY. “Amsterdam is one of Europe’s biggest hubs and a vital destination for our VIA operations between Canada and Europe. At PLAY, our mission is clear: to provide low-cost flights and offer our customers more value for their money. We aim to give the competition a run for their money with our low prices, providing people in Canada the opportunity to save money on their flights and enjoy more experiences in their destination. As we like to say at PLAY: Pay less, PLAY more.”
Learn more or book a flight at flyplay.com. See media assets here.
PLAY is a low-cost airline operating flights between Iceland and Europe, and North America as of 2022. Founded in Reykjavík in 2019 by a management team with significant experience in the aviation industry, the company operates flights on new Airbus A321NEO and A320NEO aircraft, offering streamlined, no-frills service that allows travelers to pay less and “play more.” Safety comes first for PLAY. On-time performance, simplicity, happiness and low prices are the airline’s core principles. The airline seeks to enable passengers to see the world, but not without considering its environmental impact. PLAY is being developed with sustainability initiatives and benchmarks in place to track and reduce fuel consumption, offset carbon emissions, and limit waste. Learn more or book a flight at flyplay.com or follow them on Instagram, Twitter and Facebook at @PLAYairlines. For media resources, visit PLAY’s online newsroom, flyplay.com/media.
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