The Canadian Government will provide $1.5bn over five years to the Canadian Air Transport Security Authority (CATSA) to enhance aviation security across the country.
The government will provide dedicated funds for aviation security through Canada's Air Travellers Security Charge (ATSC).
The fund will be used to strengthen Canada's air transportation system against terrorist attacks and enhance the protection of passengers.
The ATSC will be increased in the coming year to support CATSA's plans to implement existing and new security measures.
The CATSA is expected to increase the ATSC by $2.58 for one-way domestic flights, $4.37 for transborder flights and $8.91 for other international flights in the next year.
Following the failed terrorist attack on a Detroit-bound flight on 25 December 2009, the Canadian Government has introduced new full-body scanners and is in the process of developing a passenger behaviour observation programme, as well as strengthening explosive trace detection systems.