Government of Canada investments to help businesses thrive and drive economic growth
News release
Businesses and entrepreneurs in Toronto and southern Ontario gain access to programs designed to advance local economic growth
December 15, 2025 – Toronto, Ontario
Toronto is Canada’s business and financial capital, generating 50 percent of Ontario’s GDP and serving as a national hub for innovation and entrepreneurship. With nearly 110,000 businesses and a workforce of 1.8 million people, Toronto is an epicentre of economic potential. The majority of these businesses are small- and medium-sized enterprises. They are the backbone of the economy, and the Government of Canada is committed to supporting the conditions they need to thrive.
Today, the Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario (FedDev Ontario), announced a combined investment of $6.7 million for two organizations, City of Toronto and Coralus, to strengthen main streets businesses, support local economic development, and drive resilient, sustainable economic growth in the region. Minister Solomon was joined by Chi Nguyen, Member of Parliament for Spadina–Harbourfront.
This includes an up to $4-million investment for the City of Toronto to deliver the Toronto Economic Resiliency Initiative (TERI). TERI includes help for small businesses to improve their spaces, support for BIAs and not-for-profits to ease the impacts of major transit construction, assistance for restaurants expanding outdoor dining opportunities, and investment in community development projects that reduce barriers for equity-deserving businesses. Together, these supports will help Toronto’s businesses remain vibrant, competitive, and central to the city’s long-term economic success.
The Minister also announced an investment of up to $2.7 million to Coralus, a Toronto-based not-for-profit organization that supports women and non-binary entrepreneurs. This funding will allow Coralus to expand programming across southern Ontario, helping entrepreneurs to make their businesses more economically resilient. While Coralus’ reach extends across the region, its Toronto roots highlight the city’s role as a launchpad for innovation and entrepreneurial leadership.
Small businesses are the engine of Canada's economy, driving innovation, creating jobs, and building resilient communities. By investing directly in Toronto’s businesses and entrepreneurial ecosystem, the Government of Canada is reinforcing the city’s position as a driver of sustainable growth for all Canadians.
Quotes
“Supporting Canadian businesses and entrepreneurs is critical to building good jobs and driving vibrant regional economies. These targeted investments will give small businesses — especially women-led ventures in Toronto and beyond — the tools to scale, innovate, and reinforce the foundation of their communities. That’s how we turn great ideas into real-world impact and solidify our city’s standing as a leader in growth and economic opportunity.”
- The Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario
“In Toronto and across southern Ontario, communities are powered by small businesses that bring life to our streets and boost our economy. This investment in two Toronto-based organizations will help both entrepreneurs and small businesses here in Toronto and across the region, as they drive local economic development and foster vibrant communities.”
- Chi Nguyen, Member of Parliament for Spadina–Harbourfront
“Our main streets are where community happens, where people gather, eat, shop and build their lives. With this federal investment, we can help local businesses improve their spaces, expand outdoor dining, manage transit construction and reduce barriers for equity-deserving entrepreneurs. The Toronto Economic Resiliency Initiative is about helping neighbourhood businesses flourish, and I appreciate the Government of Canada’s commitment to supporting them.”
- Her Worship, Olivia Chow, Mayor, City of Toronto
“With a track record of over 268 ventures funded and $21 million in zero percent interest capital loaned by 9,000+ activators, Coralus has shown the power of leveraging multiple forms of capital – financial, social and relational – to build stronger, more inclusive business ecosystems across the country. FedDev Ontario’s investment recognizes this success and will help Coralus expand its impact with its innovative, private-sector-led model for funding and supporting entrepreneurs.”
- Vicki Saunders, Founder, Coralus
Quick facts
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Toronto is home to nearly 110,000 businesses and a workforce of 1.8 million people, with small- and medium-sized businesses (<100 employees) making up the vast majority.
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The City of Toronto’s TERI Program builds on a previous FedDev Ontario investment of $18 million for the City of Toronto to deliver the Main Street Recovery and Rebuild Initiative (MRRI), which supported over 870 Toronto businesses and organizations. This first-in-Canada approach helped to retain and attract new, locally-owned businesses, and restored commercial foot traffic and vibrancy to local neighbourhoods with a focus on marginalized communities within the city.
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Coralus (formerly SheEO Canada Fund) is a Toronto-based not-for-profit that provides wraparound support, including mentorship, networks, and resources, to women and non-binary entrepreneurs. Previously, Coralus received over $3.1 million in support through FedDev Ontario to expand its Women’s Activator Network across Canada, creating and maintaining over 520 jobs and supporting more than 750 women entrepreneurs.
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Since 2015, FedDev Ontario has provided over $790 million to support more than 780 projects in the Toronto census division, estimated to maintain nearly 58,000 jobs and create over 36,000 jobs.
Associated links
Contacts
Sofia Ouslis
Press Secretary
Office of the Minister of Artificial Intelligence, Digital Innovation and the Federal Economic Development Agency for Southern Ontario
sofia.ouslis@ised-isde.gc.ca
Media Relations
FedDev Ontario
media@feddevontario.gc.ca
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