Nunavut, N.W.T. borrowing limits rise in 2015 federal budget

The 2015 federal government's budget proposes to up Nunavut's debt cap from $400 million to $650 million and the N.W.T.'s from $800 million to $1.3 billion.

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"Increasing the borrowing limits will give the territories greater flexibility in their fiscal planning as they consider future investments, including in infrastructure, to support ongoing resource development and economic growth," the budget document reads.

Nunavut Finance Minister Keith Peterson met with his federal counterpart, Joe Oliver, last December to discuss the issue.

At that time, Peterson requested the debt cap rise to $750 million.

Earlier this year, N.W.T. Premier Bob McLeodraised the issue directly withPrime Minister Stephen Harper, asking to increase the limit to $1.8 billion in order tohelp fund big infrastructure projects such as the Mackenzie Valley Highway.