Ottawa, ON – First Nations across Canada now have greater access to stable, flexible funding that supports community-based planning and decision-making, thanks to recent enhancements to the New Fiscal Relationship Grant. This funding mechanism, co-developed by Indigenous Services Canada (ISC), the Assembly of First Nations (AFN), and the First Nations Financial Management Board (FMB), has now expanded to include eligibility for Tribal Councils and First Nations-led service providers like health authorities.
Building a Stronger Financial Future for First Nations
First introduced in 2019, the New Fiscal Relationship Grant was developed to provide First Nations with predictable and flexible funding options, breaking away from traditional short-term funding models. By securing long-term financial support, communities can pursue self-determined priorities, such as education, primary health care, governance, and economic development. In addition to stable, 10-year renewable terms, the Grant includes an annual funding increase tied to inflation and population growth, further aiding First Nations in adapting to changing needs.
Expanded Access in 2024
In the 2024-25 fiscal year, 18 additional First Nations joined the Grant, bringing the total number of participating communities to 160. The average funding increase for this year was 5.1%, generating an additional $40 million in support for these communities. Cumulatively, the Grant now escalates at over $100 million annually, helping to ensure that First Nations have a secure financial base for the programs they deliver.
The expanded eligibility announced today extends to approximately 80 Tribal Councils, 38 health authorities, and 170 other First Nations-led service delivery organizations. This change is especially valuable to smaller or remote First Nations that may find it challenging to access the Grant directly, allowing them to benefit through their service providers, which offer specialized expertise and resources.
Applying for the 2025-26 Fiscal Year
Tribal Councils and other First Nations-led organizations interested in joining the Grant program for the 2025-26 fiscal year have until November 1, 2024, to submit an expression of interest. For details on eligibility and the application process, visit Indigenous Services Canada’s New Fiscal Relationship Grant information page.
Leaders Speak on the Expansion’s Impact
“We are pleased to see the expansion of the New Fiscal Relationship Grant,” said Harold Calla, Executive Chair of the First Nations Financial Management Board. “This change increases options for First Nations, building on years of AFN-led work. The FMB is committed to supporting applicants in meeting financial standards and enhancing their capacity to build long-term, self-directed success.”
Minister of Indigenous Services Patty Hajdu echoed this sentiment: “This Grant empowers First Nations to design and deliver services based on their own needs, rather than following a one-size-fits-all approach. Expanding the Grant to Tribal Councils and First Nations-led service delivery entities will help more communities access these benefits, supporting the futures they envision.”
Quick Facts
- In 2016, Canada signed a Memorandum of Understanding with the AFN to explore new financial frameworks for First Nations.
- The New Fiscal Relationship Grant was created following AFN-led engagement in 2017, with FMB’s ongoing support.
- In 2024-25, $1.5 billion is being distributed across 27 eligible programs to participating First Nations, with expansion to 28 programs planned for 2025-26.
