Community Economic Development and Diversification

Overview of the Community Economic Development and Diversification program:

The Community Economic Development and Diversification Program, part of the Economic Development Initiative (EDI) in southern Ontario, provides targeted funding to not-for-profit organizations aiming to strengthen the economic base and competitiveness of official language minority communities (OLMCs), particularly Francophone communities. The program supports projects that promote regional growth, entrepreneurship, and community capacity building, with an emphasis on economic diversification and inclusive participation. Applicants may receive funding for initiatives that foster innovation, enhance business development and management capabilities, reskill or upskill workers, improve digital adoption, and support community-led strategies. Priority is given to projects that align with key themes such as women’s entrepreneurship, youth engagement, clean technology, social economy, and tourism development. Applicants are expected to provide a clear project plan, measurable outcomes, a sustainability strategy, and demonstrate how the initiative supports small- and medium-sized enterprises (SMEs), partnership development, and inclusive access to economic opportunities. Projects may also include further distribution of funds to SMEs (up to $50,000 per recipient), with matching cash contributions required from ultimate recipients. This program actively promotes diversity, equity, and inclusion, and encourages participation in the federal 50-30 Challenge, aiming for gender parity and representation of underrepresented groups in leadership.

Benefits of the Community Economic Development and Diversification program:

• Non-repayable funding for economic development projects
• Supports clean growth, tourism, social economy, digital adoption
• Inclusive of underrepresented demographics (women, youth, Indigenous, racialized groups, newcomers, OLMCs)
• Opportunity to redistribute funds to small and medium-sized enterprises
• Encourages partnerships and collaboration between community groups, academia, and industry
• Incentivizes skills training, entrepreneurship, and business scale-up
• Promotes bilingualism and support for official language minority communities
• Projects aligned with Canadas Action Plan for Official Languages 20232028 are prioritized

Eligibility criteria of the Community Economic Development and Diversification program:

• Applicants must be not-for-profit organizations
• Projects must take place in southern Ontario and align with EDI priorities
• Must serve or benefit official language minority communities (OLMCs)especially Francophone
• SMEs (1499 employees) may be ultimate recipients in sub-funded projects
• Ultimate recipients must provide a minimum 50% cash contribution
• Projects must be measurable, viable, and completed within the defined timeline
• Financial sustainability must be demonstrated both during and post-project
• Applicants must have the authority to enter into legally binding agreements
• Must be compliant with Canadas anti-discrimination and sanctions laws