It’s a $358 million national initiative to support Canada’s defence needs while bolstering regional economic development

Northern Ontario will benefit from a new Federal Economic Development Agency for Northern Ontario – FedNor program that will spend $15.8 million over three years to integrate local businesses into national and international defense supply chains.

It’s part of a larger initiative that promotes a strong defence industry as key to Canada’s national sovereignty and security, as well as its economic resilience and long-term prosperity.

Patty Hajdu, Minister Responsible for FedNor, today announced the launch of the Government of Canada’s Regional Defence Investment Initiative (RDII).

It’s a $358 million national initiative to support Canada’s defence needs while bolstering regional economic development. The RDII will be delivered in northern Ontario by FedNor with a budget of $15.8 million.

“The RDII aims to accelerate the integration of businesses and regional ecosystems into domestic and international defence supply chains, and increase their industrial and innovation capacity,” says a news release. “This includes investment in businesses whose products and services are dual-use, and that wish to pivot their activities to supply the defence sector.”

Through existing programs, expertise and on-the-ground presence, FedNor will be supporting the growth of the defence industrial ecosystem, strengthening the relationship between government and industry while also driving innovation, investment, good-paying jobs and economic growth.

“Over the next three years, the Regional Defence Investment Initiative will invest $15.8 million to help northern Ontario businesses scale up, modernize or pivot their operations so they can support Canada’s defence needs,” said Hajdu. “Small- and medium-sized businesses are at the core of regional economic development and a key part of our government’s plan to build, protect and empower Canada. Through Regional Development Agencies, like FedNor, we are boosting investment in defence, increasing our industrial capacity and fuelling innovation to generate long-term benefits for businesses, workers, families and the economy.”