Building the Economic Case for Community Capital in Canada

Nordicity partnered with the Canadian Coalition for Community Capital (4C) to build the economic case for a national policy proposal aimed at expanding retail investment in community capital.

Working closely with Tapestry Community Capital and stakeholders across the impact-investing and community-capital ecosystem, Nordicity developed economic modelling to assess the costs and benefits of three proposed federal tax measures:

• inclusion of eligible community investments in registered accounts
• a targeted investor tax credit
• loss-protection mechanisms

The modelling found that, together, the proposed measures could mobilize up to $831 million in community capital over five years. This investment could support up to:

• 11,000 new affordable housing units

• 22,600 jobs

• $3.0 billion in GDP

   

The findings demonstrate the potential for targeted tax policy to leverage Canadian retail investment in support of affordable housing, community infrastructure and broader economic development.

Nordicity’s project team included Peter Lyman, Dustin Chodorowicz, Lola Zhang, Ryan Lee and Shubhita Aggarwal.

Read the Canadian Coalition for Community Capital’s press release: https://bit.ly/4wUOLwc