Announced in Budget 2009, the Business Credit Availability Program (BCAP) will improve access to financing for Canadian businesses during this period of economic uncertainty through enhanced cooperation between private sector financial institutions and the financial Crown corporations.
Through this program, EDC and BDC will provide at least $5 billion in additional loans and other forms of credit support and enhancement at market rates to businesses with viable business models whose access to financing would otherwise be restricted.
By working in close cooperation with private sector financial institutions, this program will fill gaps in market access and lever additional lending by private sector institutions where joint participation facilitates private action.
Participating private sector lenders will commit to:
- Working with the financial Crown corporations to find solutions for creditworthy business clients who would otherwise have insufficient access to credit
- Ensuring that the extension of credit by financial Crown corporations is incremental for Canadian businesses and does not displace or substitute for private credit in aggregate
The Government will monitor the program with participating lenders to ensure it is meeting its objectives.
