The Facts
Fig. 1
Limited access to infrastructure.
Many reservations lack basic infrastructure such as indoor plumbing, public utilities and reliable internet service. This makes it difficult for businesses to operate and for residents to access goods and services.
49%
Across the country, 49% of tribal homes do not have access to reliable water sources, clean drinking water or basic sanitation
14%
14 % of households on Native American reservations have no access to electricity, 10 times higher than the national average.
35%
About 35% of Americans living on tribal lands lack broadband access.
Fig. 2
Limited access to capital.
Statistics show that only 0.1% of all venture capital investments go to Indigenous businesses. That means for every $100 invested in American businesses, only $1 is invested in Native owned businesses. This amount is even less for businesses located on reservations.
Fig. 3
Historical injustices.
From 1778 to 1871, the United States government entered into more than 500 treaties with the Native American tribes; ALL of these treaties have since been violated in some way or outright broken. Native Americans and First Nations peoples are still fighting for their treaty rights in federal courts and at the United Nations.
For centuries, Indiegnous peoples have been subjected to forced relocation, land loss, and underfunding for health care and infrastructure. These historical injustices continue to impact economic development within indigenous communities today. The following is just a fraction of policies and actions that have harmed Indigenous peoples:
1830: The Indian Removal Act is passed, which leads to the forced relocation of Native American tribes from their ancestral lands .
1851: Treaty of Fort Laramie: The federal government signs treaties with Native American tribes, including provisions that allocate reservation land and promise annuities, education, and medical care in exchange for ceding their ancestral lands.
1862: The Homestead Act is passed, which encourages westward expansion by offering free land to settlers. However, the Act does not apply to Native American reservations, effectively denying them the opportunity to own and cultivate land.
1864: The Scorched Earth Policy was a military tactic used by the US government to destroy Native American lands and resources. Sand Creek Massacre occurs when US soldiers attack a peaceful camp of Cheyenne and Arapaho Indians in Colorado, killing over 150 men, women, and children. The Navajo had their lands and resources destroyed or seized by the US government. This policy, along with others like the forced relocation to Bosque Redondo, led to significant economic and cultural obstacles that continue to affect Native communities today.
1887: The Dawes Act is passed, which seeks to assimilate Native Americans into white American culture by breaking up reservation lands into individual allotments that are distributed to Native American families. The Act also allows for the sale of "surplus" reservation land to non-Natives, which further reduces the amount of land available to Native American communities.
1906: The Burke Act is passed, which allows the federal government to seize "competency" over Native American lands if they deemed the landowners to be "incompetent" to manage their own affairs. This policy was used to force Native Americans to sell their land to non-Natives for resource extraction, including mining and timber.
1934: The Indian Reorganization Act is passed, which ends the policy of allotment and encourages the re-consolidation of reservation lands. However, the Act also requires Native American tribes to adopt constitutions that mirror the US government's structure, limiting their ability to govern themselves according to traditional cultural practices.
1953: The Policy of Termination seeks to end the government's trust responsibility to Native American tribes and assimilate Native Americans into mainstream American society. This policy leads to the termination of over 100 tribes and the loss of reservation lands.
1977: The mining consortium whos members included Peabody Western Coal Company begins operating on the Navajo Nation, extracting coal from the Black Mesa region. The mining operations continue to have a significant impact on the environment and on the health of Navajo communities in the region.
1980: Washington v. Fishing Vessel Association upholds the federal government's power to regulate hunting and fishing on Native American reservations. This decision reinforces the idea that Native American tribes have limited sovereignty over their own lands and resources. This decision reinforces the idea that Native American tribes have limited sovereignty over their own lands and resources.
1985: The Bennett Freeze on the Navajo Nation prohibits new construction and development on 1.5 million acres of the reservation. The freeze remains in effect until 2009, severely limiting economic development and opportunities for the Navajo Nation.
1992: The Indian Mineral Development Act is passed, which seeks to promote mineral development on Native American lands. However, critics argue that the Act prioritizes resource extraction over environmental protection and the rights of Native American communities, leading to further economic and environmental challenges for these communities.
Summary
Addressing these obstacles will require a combination of targeted policy interventions, increased investment in infrastructure and education, and greater support for Native American entrepreneurs at the community and grassroots level.