Canada’s major food banks found themselves in a position of unprecedented financial strength during the pandemic, with record reserves of approximately $168 million. These reserves are now playing a crucial role in supporting Canadians facing the ongoing affordability crisis.
Twelve prominent food banks spread across the nation saw their cash and investment reserves quadruple since 2019, even as their expenses doubled during the same period. Additionally, national and provincial food bank associations bolstered their reserves by an extra $70 million.
The substantial influx of funds was primarily sourced from multi-million dollar surpluses driven by pandemic-related generosity and extraordinary government grants. Some food banks continue to witness these surpluses swell, further strengthening their financial positions.
David Long, CEO of the Greater Vancouver Food Bank, commented on the situation, saying, “Am I struggling right now? No, I’m not. I’m very fortunate.” However, he voiced concerns shared by food bank CEOs nationwide regarding the future.
The anxieties stem from rising food costs and a housing crisis that is putting immense pressure on Canadians. Some food banks have already seen their surpluses turn into deficits as donations decline and the demand for food assistance surges.
David Long summarized the situation succinctly, stating, “It’s a perfect storm of more people needing food and a huge amount of people that have no more discretionary income to give to charities.” The challenge ahead lies in how food banks navigate this storm to continue providing vital support to those in need.
