Many Canadian businesses face challenges when trying to grow. Scaling up, adopting new technology, or entering new markets can be expensive and risky—especially outside major cities. The Regional Economic Growth through Innovation (REGI) program was created by the Government of Canada to help reduce these risks. REGI invests in local strengths and supports innovation in communities. It is delivered by regional development agencies. REGI funding helps businesses expand more quickly and strengthens local economies.
Regional Economic Growth through Innovation (REGI) is a federal program that supports businesses to start, grow, and compete globally. REGI is delivered differently in various parts of Canada by specific agencies:
Each region has its own approach to REGI. However, REGI funding always focuses on three main goals: helping businesses scale up, encouraging innovation, and supporting long-term regional development.
One of the main REGI streams is called Business Scale-up and Productivity. This stream helps small and medium-sized enterprises (SMEs) expand and become more competitive.
Before you apply, review what REGI can help with in your region. Common eligible activities include:
For example, in Quebec, CED’s REGI – Business Scale-up and Productivity stream can cover up to 90% of eligible costs for non-capital projects for certain not-for-profit applicants and up to 50% for capital projects, depending on who applies and what the project is. For-profit businesses may have lower coverage rates.
In Atlantic Canada, ACOA uses REGI to help growth-focused businesses scale faster, adopt new technology, and reach international markets. Funding can be repayable or non-repayable, based on the risk and impact of the project.
Tools like GrantHub’s eligibility matcher can help you find which REGI stream fits your province, industry, and stage of growth.
REGI funding does not always go directly to businesses. Another important part of REGI is the Regional Innovation Ecosystems (RIEs) stream. This stream supports organizations that help entrepreneurs and businesses.
REGI funds a range of activities, such as:
For example, FedNor’s REGI – Regional Innovation Ecosystems stream in Northern Ontario provides repayable contributions covering up to 75% of eligible project costs. Not-for-profit organizations, Indigenous groups, municipalities, and consortia with SMEs and schools can apply.
These investments help hundreds of businesses indirectly. They improve access to talent, expertise, infrastructure, and financing, which are important for regional economies.
REGI funding aims to make growth inclusive and balanced across regions. It is not limited to big cities or certain sectors.
Some examples include:
By investing in underrepresented groups and rural or remote areas, REGI helps build strong local economies that can adapt to change.
Assuming REGI is just one grant
REGI is a framework. Each regional agency runs it differently. Eligibility, funding rates, and whether you repay the money depend on your location.
Applying as a business to the wrong stream
Some REGI streams fund groups that support businesses, not the businesses themselves. If you apply to the wrong stream, your application may be delayed or rejected.
Not preparing for project requirements
REGI projects need detailed budgets, forecasts, and proof of economic impact. Early ideas without a clear plan usually do not get funding.
Ignoring stacking limits
REGI funding can be combined with other government support, but the total government assistance cannot exceed set limits.
Q: Who can apply for REGI funding?
Eligibility depends on the stream and region. It can include SMEs, not-for-profit organizations, Indigenous groups, municipalities, and consortia with academic or industry partners.
Q: Is REGI funding repayable or non-repayable?
Both types exist. Some REGI contributions must be repaid, especially for business scale-up projects. Others—often for not-for-profits—do not need to be repaid.
Q: How much funding can you get through REGI?
There is no single limit. Funding is usually a percentage of eligible costs, from 50% to 90%, depending on the program and project. Higher rates may apply to not-for-profit applicants.
Q: Does REGI fund early-stage startups?
REGI mostly helps businesses that are ready to grow or groups that support them. Very early-stage startups may get support through incubators funded by REGI.
Q: How long does the REGI approval process take?
Timelines depend on the region and how complex the project is. Larger or riskier projects usually take longer to approve.
REGI funding is an important tool for helping Canadian businesses scale, innovate, and build stronger local economies. The best stream for you depends on your region, sector, and goals. GrantHub tracks hundreds of federal and regional grant programs across Canada, including all REGI streams, making it easier to find programs that fit your business and growth plans.
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