News Summary

The Business Development Bank of Canada (BDC) has expanded its Defence Platform to $6 billion, following a $1.2 billion investment from the federal government. This funding is in addition to the $1 billion promised by the Government of Canada in Budget 2025. The Defence Platform, launched in December, aims to support Canadian small and medium-sized businesses (SMBs) in the defence sector. The new investment will focus on ecosystem development and investments, with a smaller portion allocated to loans. BDC has also appointed Peter Suma to lead the $300 million StrongNorth Fund, which will support startups developing dual-use technology with military and civilian applications. The StrongNorth Fund is expected to invest in 30 to 40 startups over the next four years, leading rounds and providing significant financial backing. This expansion is part of Canada’s broader effort to reduce military dependency on the US and build a robust domestic defence industry.