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