OTTAWA — The federal Liberals have introduced legislation to provide $7.2 billion to cash-strapped provinces, territories and municipalities, with more than half going to immediate health-care needs.

Finance Minister Chrystia Freeland says COVID-19 has placed extreme pressure on health-care systems across the country and Canadians need help urgently.

She says $4 billion, to flow through the Canada Health Transfer, will help ensure health systems do not buckle under the continued strain of the pandemic.

The bill also proposes $1 billion to support the rollout of COVID-19 vaccination programs.

In addition, the legislation would provide $2.2 billion for municipalities and First Nations communities through the federal gas-tax fund.

Freeland says the planned spending is a down payment on programs that will be more fully outlined in the federal budget next month.

This report by The Canadian Press was first published March 25, 2021.

The Canadian Press