Financial and economic support during COVID-19 outbreak: Federal updates

To support Canadian businesses and individuals facing financial hardship as a result of the health and economic fallout of the global COVID-19 outbreak, the federal government is taking action. Find out how.

Since March 2020, the federal government has announced a series of economic measures to help stabilize the economy and address the widespread fallout of the COVID-19 pandemic.

Some of the key measures in Canada’s COVID-19 Economic Response Plan include:

  • the Canada Emergency Response Benefit (CERB), which provides $2,000 monthly for up to four months to eligible workers who have stopped working because of the COVID-19 pandemi
  • the Canada Emergency Wage Subsidy (CEWS), which provides a 75 per cent subsidy for eligible employers, retroactive to March 15
  • extending certain filing and payment deadlines
  • expanding the Business Credit Availability Program (BCAP) to mid-sized companies with larger financing needs by providing loans of up to $60 million per company, and guarantees of up to $80 million
  • the Canada Emergency Business Account (CEBA), which provides interest-free, partially forgivable loans of up to $40,000 to small businesses and not-for-profit organizations with a 2019 payroll between $20,000 and $1.5 million
  • the Large Employer Emergency Financing Facility (LEEFF) , which provides bridge financing for eligible large for-profit businesses and some not-for-profit businesses with annual revenues generally in the order of $300 million or higher
    • to qualify for LEEFF support, eligible businesses must be seeking financing of about $60 million or more, have significant operations or workforce in Canada, and not be involved in active insolvency proceedings
  • the Canada Emergency Commercial Rent Assistance (CECRA) , which provides a forgivable loan to qualifying commercial property owners, who in turn give a rent reduction of at least 75 per cent for April and May (retroactive) and June, to impacted small business tenants who have experienced at least a 70 per cent drop in pre-COVID-19 revenues

View the federal government’s COVID-19 Economic Response Plan  for more details.

For information on tax-related issues, please see our federal government COVID-19 tax updates page.

Other federal government measures:

Government Introduces COVID-19 Emergency Response Act, No. 2 to Help Businesses Keep Canadians in their Jobs (April 11, 2020)

The COVID-19 Emergency Response Act Receives Royal Assent (March 25, 2020)

Government of Canada Announces Additional Measures to Support Continued Lending to Canadian Consumers and Businesses (March 20, 2020)

Canada’s COVID-19 Economic Response Plan: Support for Canadians and Businesses (March 18, 2020)

Canada outlines measures to support the economy and the financial sector (March 13, 2020)

Business Development Bank of Canada (BDC):

Support for entrepreneurs impacted by the coronavirus COVID-19

Export Development Canada (EDC):

New domestic mandate enhances EDC’s role in supporting all Canadian businesses through COVID-19 crisis