Investissement Québec posted a 7.6% return for its last financial year on Thursday, but the big boss of the Québec government’s financial arm warned that next financial year could be more difficult due to uncertainty. in the economy.
” We all know the supply chain, inflation and all the issues we know. Next year is likely to present a slightly different picture. We don’t have that pink mirror. “
Investissement Québec recorded a profit of $ 349 million in the 2021-2022 financial year, which ended on March 31. This information appears in its annual report published on Thursday.
Over three years, a period that the institution deems more appropriate to assess its performance, the company gets an average annual return of 9.3%.
Investissement Québec therefore exceeded the return target set by the government, over three years, which is equivalent to the Québec government’s borrowing rate of 1.9%.
With rising interest rates on government borrowings, the minimum income the institution has to record will be higher, but Mr. LeBlanc believes Investissement Québec has enough leeway to intervene in the economy. He specified that the difference between the three -year return and the minimum return was more than 7 percentage points.
Investissement Québec has access to the equivalent of $ 4 billion in unused debt. Mr. LeBlanc also points out that the company pays off certain debts in the normal course of its activities, and it may sell some investments.
” There will be a lot of investment. We have margin en masse for the next two years without asking. “
Despite the darkening of the economic horizon, Investissement Québec has put less money in the event of losses on its loans. Provisions for credit losses represent 4% of loans, compared to 5% in 2021.
This decrease is due to the improvement of the financial situation in a main file within a company, whose identity was not disclosed, Mr. LeBlanc explained.
Women: fewer interventions than desired
Investissement Québec failed to reach the target it set for the size of its investments in women-managed or owned companies. The company wants this category to represent 15% of its direct investments. The proportion was instead 13% during the financial year.
The company remains on course for its goal of reaching the 18% threshold for the 2022-2023 financial year, Mr. LeBlanc assured. The smaller group of women-owned businesses explains why the company failed to reach its 2022 target, she said.
” This is a number that is not yet at the desired level. What we are looking for is definitely to stimulate female entrepreneurship. “
During the financial year, Investissement Québec conducted 4,891 operations representing a total investment of $ 4.9 billion to support projects worth $ 16.6 billion. Of this amount, $ 2 billion comes from interventions through Investissement Québec’s own funds. The other tranche of 2.9 billion came from its agent activities.
Investissement Québec also reported the presence of 4,600 accompaniments related to the companies ’strategy, their technologies or their exports.
Pay
During the year, Mr. LeBlanc received total compensation of $ 887,930, up 5.8% over the previous year, again according to the annual report.
In total, the company’s six most senior executives received emoluments equivalent to 4.6 million, an increase of 12.3% compared to last year.
Source: Radio-Canada
