New institution would create thousands of jobs and economic growth while bolstering Canada’s military capacity
TORONTO — Today, the Ontario government, in partnership with the City of Toronto, federal MPs and hundreds of supporters from the financial services, accounting, telecommunications, transportation, manufacturing, legal, tech, defence and academic and research sectors, announced its support for Toronto’s bid to headquarter the newly established Defence, Security and Resilience Bank (DSRB). As a global financial services hub, the country’s economic engine and a centre of technology, research and international business, Toronto brings together the conditions a major global institution needs to operate successfully: stable capital markets, sophisticated investors, a deep talent base, reliable global transportation links, extensive consular services and a predictable, rules-based environment within a G7, NATO-allied country.
“As the financial capital of the country and second largest financial centre in North America, Toronto and Ontario offer unparalleled access to markets, world-class workers and infrastructure,” said Premier Doug Ford. “Headquartering the Defence, Security and Resilience Bank, and the long-term economic benefits it would bring, is a once-in-a-generation opportunity that would benefit every part of the country. Toronto’s selection as Canada’s choice will give us the best possible chance of securing these benefits for all Canadians.”
The City of Toronto’s bid brings several key advantages:
- A global financial hub: Toronto is Canada’s largest financial centre and the second largest in North America, home to all five major Canadian banks and over 40 foreign banks, giving the DSRB direct access to banks consistently ranked among the safest in the world, pension funds and capital markets.
- A world-class workforce: Toronto offers Canada’s largest combined workforce in financial services, technology and advanced STEM fields, supported by the country’s leading universities, colleges and research institutions.
- Defence and security expertise: Toronto hosts Canada’s most diverse and innovation-rich defence and dual-use technology ecosystems, with industry leaders in aerospace, AI, cybersecurity, quantum, robotics, autonomy, geospatial systems, space technologies and advanced manufacturing.
- Unmatched global connectivity: Toronto Pearson International Airport provides direct global access to the U.S., Europe and Asia with flights to nearly 200 destinations, the most of any airport in Canada, placing the DSRB within hours of the world’s major financial and political centres. The city is home to 107 consulates and more than 190 languages spoken, offering a cultural fluency for allied partners and nations.
“Hosting DSRB in Ontario would support jobs, innovation and the development of advanced technologies across the province,” said Peter Bethlenfalvy, Minister of Finance. “Hosting the headquarters of this unique financing body in the province is part of delivering on our mandate to protect Ontario and help workers and businesses, while creating the long-term foundations for a strong, resilient and competitive economy.”
The DSRB is a multilateral lending institution modelled after the World Bank. The bank is designed to meet the complex security needs of democratic nations by providing long-term credit and liquidity to industry suppliers of all sizes, as well as helping streamline multinational procurement. It is expected to create approximately 3,500 skilled jobs and countless more secondary jobs that would strengthen Canada’s capacity to finance defence, security and resilience projects.
“Toronto is Canada’s financial engine, and our diversity of talent is unmatched, with a highly skilled workforce and world-class research institutions. We have all the right conditions to help a multilateral bank succeed,” said Mayor Olivia Chow. “This is an opportunity to bring the world to Toronto, create thousands of jobs and demonstrate Toronto’s leadership on the world stage.”
As a proposed headquarters location, Toronto offers one of North America’s largest financial centres and a highly skilled workforce well-suited to support the DSRB’s operations. The institution’s presence would help Ontario solidify its role in defence and security innovation while creating significant economic and employment opportunities across the province.
“This is a transformational opportunity that sits at the intersection of Canada’s commitment to our NATO allies and our proven strength in global finance,” said Julie Dzerowicz, Chair of the Federal Toronto Liberal Caucus. “Toronto is home to all five of Canada’s major banks — including RBC, which is already a founding institutional partner of the DSRB — making our city uniquely positioned to anchor this historic new multilateral institution. With the federal government’s commitment to invest five per cent of GDP in defence and security by 2035, hosting the DSRB would ensure those investments create thousands of good jobs right here in Ontario while demonstrating that Canada is ready to lead, not just participate, in the defence of our alliance.”
Quick Facts
- The DSRB is a new multilateral institution focused on financing defence, security and resilience projects for NATO members and allied nations.
- The DSRB was created to address financing challenges facing government and industry in the defence sector as countries around the world increase their spending on securing their national borders and meeting their international geopolitical commitments.
- The DSRB combines public and private capital to provide affordable funding for governments, support smaller suppliers and streamline multinational procurement.
- Ontario’s defence industry is the largest in Canada by employment, representing approximately 36 per cent of the Canadian defence sector jobs.
- Southern Ontario is home to more than 900 defence-capable organizations, anchored by major clusters in the Greater Toronto Area, Ottawa and London, and is one of the country’s most dynamic centres for defence innovation.
- Over the last 10 years, employment in Toronto’s financial services sector grew at the fifth-highest rate in the world and the highest rate in North America, according to the Conference Board of Canada.
- The federal government has pledged to increase its defence spending commitment to five per cent of annual GDP by 2035 to meet Canada’s NATO pledge.
Quotes
“With a robust defence manufacturing supply chain, world-class talent and a vibrant innovation ecosystem, there is no better place for the new Defence, Security and Resilience Bank to be located than right here, in Ontario. Our province stands ready to support Canada and our NATO allies as they achieve historic defence commitments, which is why our government is proudly putting forward a serious proposal to bring this important multilateral institution to Toronto.”
– Vic Fedeli
Minister of Economic Development, Job Creation and Trade
“Toronto is proudly home to world class colleges, universities and research institutes who are training highly skilled workers, advancing key sectors and driving groundbreaking discoveries. The establishment of the Defence, Security and Resilience Bank in Toronto will ensure Canada has unparalleled access to globally recognized industry leaders and cutting-edge infrastructure that is needed to bolster our defence sector, protecting Ontario and all of our NATO allies.”
– Nolan Quinn
Minister of Colleges, Universities, Research Excellence and Security
“Toronto stands strong as Canada’s economic engine, a top tier global financial services hub and centre of innovation, with the logistic links connecting to NATO-allied countries. Toronto is the only Canadian city where these fundamentals converge, presenting an unparalleled opportunity to attract investment and jobs. It is clear we offer Canada’s strongest platform to host the Defence, Security and Resilience Bank — underpinned by access to ethical resources, clean nuclear power and a highly skilled workforce. As Premier Ford has said, there is only one choice for Canada: that’s here in the GTHA.”
– Stephen Lecce
Minister of Energy and Mines
“Toronto is built for institutions that mobilize capital and drive innovation. Headquartering the DSRB here would accelerate defence and security investment, strengthen supply chains and deliver thousands of high-skilled jobs.”
– Rod Phillips
Chair of Toronto Global