Export Development Canada offers financing, credit insurance, and bonding solutions to help Canadian businesses win and deliver international contracts. Here's what's available, who qualifies, and how to engage EDC effectively.
Export Development Canada (EDC) is a federal Crown corporation mandated to support Canadian companies doing business internationally. Unlike grants such as CanExport SME, EDC provides financial instruments — loans, guarantees, credit insurance, and bonding — that help businesses take on contracts, enter new markets, and manage the risk of doing business across borders.
EDC's mandate has expanded beyond traditional exporters. Today, EDC supports Canadian companies that invest abroad, supply Canadian exporters, and generate economic benefit for Canada even if they are not directly exporting themselves.
EDC provides financial tools — loans, guarantees, and insurance — not non-repayable contributions. If you need capital to pursue an international opportunity, EDC's solutions are designed to complement your bank financing, not replace it.
The EGP lets EDC guarantee a portion of your existing bank credit facility, freeing up working capital to fulfill export contracts. EDC covers the bank's risk so the bank can increase your credit limit. Use it when you have a contract to deliver but need more working capital than your bank will provide on its own.
Protects Canadian businesses against non-payment by foreign buyers — due to commercial reasons (customer bankruptcy, refusal to pay) or political risk (sanctions, transfer restrictions, government actions). Coverage can reach up to 90% of the insured receivable value.
EDC can offer financing directly to your foreign buyers to help them pay for Canadian goods and services. This is particularly valuable for larger contracts where the buyer's own financing constraints are the barrier to a sale. EDC lends to the buyer; you get paid on time.
Many international contracts require performance bonds, bid bonds, or advance payment guarantees. EDC can back these instruments through your bank, allowing you to access bonding capacity without tying up your cash collateral.
Loans to help Canadian companies establish or acquire operations in foreign markets — subsidiary setup, equipment purchase, in-market working capital. For companies expanding beyond exporting into international direct investment.
EDC has dedicated SME teams for companies under C$10 million in revenue. When you first contact EDC, ask specifically for an SME account manager — you will get a more relevant conversation than going through the general inquiry line.
EDC solutions are designed to complement other government programmes — not compete with them. Each tool fills a different gap in the export journey:
You cannot use different government programmes to cover the same expense or risk. EDC credit insurance on a receivable cannot also be backed by a separate federal guarantee covering the same potential loss. Disclose all government support to each programme manager.
This guide is for informational purposes only. EDC programme terms, coverage limits, and eligibility criteria change — always verify current conditions at edc.ca before making financing decisions.