Katie Franzios reports on the city's proposed new agencies.

With the world economic outlook dismal, the city is trying to enhance Toronto's economic competitiveness.

The city has released a report proposing to set up two new arm's-length corporations: one to develop under-used land and, the other, to promote private-sector investment in the city. Build Toronto and Invest Toronto will both be chaired by Mayor David Miller and will attempt to create jobs in the city.

Miller says he wants a partnership with the private sector to welcome new investments.

CFRB's Katie Franzios has more.

As for the Toronto Economic Development Corporation (TEDCO), Miller says Invest Toronto and Build Toronto will be taking most of its responsibilities. Miller says it's too small for the type of large-scale development in this plan.

If city council approves, the two corporations will be set up before the end of the year.