Having heard that its loan program is not reaching all the businesses that need support to survive the pandemic, Ottawa is opening its purse wider.
Prime Minister Justin Trudeau said 195,000 businesses have been approved for loans for up to $40,000 through the Canada Emergency Business Account. A total of $7.5 billion has flowed so far.
However, he said there are still many companies that do not qualify.
Thursday morning, he announced the program would be expanded to companies that had a payroll in 2019 between $20,000 and $1.5 million.
The loans, backed by the federal government, are given by the banks. Previously, the loans were open only to companies with payrolls between $50,000 and $1 million.
Trudeau also announced the Canada Emergency Commercial Rent Benefit. He said his government is currently in discussions with the provinces and territories to bring the program to fruition.
The rent benefit would cover the cost of rent for April, May, and June.
