First Nations Fiscal Management Act

While all First Nations have the authority to pass by-laws related to the taxation of land under the Indian Act, the First Nations Fiscal Management Act (FNFMA) provides First Nation governments with authority over:

  • financial management
  • property taxation and local revenues
  • financing for infrastructure and economic development

Participating First Nation governments are also supported by the First Nations institutions established under the act. The act contributes to the well-being, economic and community development and greater self-determination of First Nations.

The First Nations Fiscal and Statistical Management Act came into force on April 1, 2006 and was officially renamed the First Nations Fiscal Management Act (FNFMA) on April 1, 2013. The act enables First Nations to participate more fully in the Canadian economy while meeting local needs by:

  • strengthening First Nations real property tax systems and First Nations financial management systems
  • providing First Nations with increased revenue raising tools, strong standards for accountability, and access to capital markets available to other governments
  • allowing for the borrowing of funds for the development of infrastructure on-reserve through a co-operative, public-style bond issuance