Government of Canada Announces $450 Million in New Funding for BDC to Assist Canadian Businesses

(Ministry of Industry)

The Honourable Denis Lebel, Minister of State (Economic Development Agency of Canada for the Regions of Quebec), on behalf of the Honourable Tony Clement, Minister of Industry, today announced that the Government of Canada is providing $450 million to the Business Development Bank of Canada (BDC) in support of small and medium-sized enterprises and innovative firms.

The funding will include $100 million to establish the Operating Line of Credit Guarantee and $350 million over three years to help drive venture capital investment in promising Canadian technology businesses.

“Today’s announcement will enable BDC to team up with financial institutions to give businesses with strong balance sheets and business fundamentals access to credit that will enable them to continue playing a key role in the vitality of our country’s economy. The venture capital funding will help growth-oriented businesses achieve even more ambitious objectives, while stimulating the Canadian economy.”

The Operating Line of Credit Guarantee will be delivered under the Business Credit Availability Program as part of the government’s Extraordinary Financing Framework announced in Canada’s Economic Action Plan, and it will improve access to financing for Canadian businesses during this period of economic uncertainty.

Read the complete government press release here.