OTTAWA—Newly released documents show Prime Minister Justin Trudeau was given warnings about the complexity of plans to “build back better” from the pandemic that could lead to economic uncertainty.
The idea of strengthening economic shortfalls unearthed by the pandemic has become a rallying cry for Canada and many of its allies, such as the United States.
While there is a heavy focus on strengthening battered supply chains and building domestic capacity to produce essential goods, “build back better” also aims to address digital and green economic shifts accelerated by the pandemic.
The prime minister’s briefing binder notes that governments looking to “build back better” could create “uncertainty about rule and standards, create market distortions, and generate less of an even playing field.”
The document also highlights the combined effect of higher government debt loads, inflation and rising interest rates that could hinder “build back better” efforts.
The documents were released to The Canadian Press under the Access to Information Act, days before the close of consultations on this year’s federal budget.