How much funding can be received?

There is no informations about how much funding can be received.

What is the deadline to apply?

The deadline to apply is 2024-07-09T23:59:59Z.

Who are the financial supporters of the EDC — Performance Security Insurance?

EDC — Performance Security Insurance is funded by Export Development Canada (EDC), Government of Canada

What are EDC — Performance Security Insurance's eligibility criterias?

A letter of guarantee must be reviewed by EDC. Eligibility is influenced by conditions and economic outlook in the customer's country and the customer's profile.

EDC — Performance Security Insurance

Last Update: February 16, 2025

Canada

Protection against letter of guarantee losses

EDC — Performance Security Insurance at a glance

Eligible Funding

No Condition

Timeline

Open Date : July 1, 2024
Closing date : July 9, 2024

Financing Type

Other Support

Eligible Industries

All industries

Grant Providers

Export Development Canada (EDC)
Government of Canada

Status

Open

Overview of the EDC — Performance Security Insurance program

Protect your cash flow, get coverage of up to 95% of your insured losses if a customer wrongfully calls a letter of guarantee or if a call is triggered by you not being able to meet your obligations due to specific political risks.

Eligible projects & activities

Examples of admissible projects:

$ 760,000

Financial coverage for the export of medical equipment to Turkey

$ 570,000

Coverage on exporting IT solutions to Nigeria

$ 475,000

Coverage for wrongful calls of guarantee on exported agricultural machinery to Russia

$ 1,425,000

Protection against wrongful calls for exported clean energy technology to India

$ 1,140,000

Protection against wrongful calls for a construction project in Brazil

$ 1,900,000

Coverage for wrongful calls on a renewable energy project in Mexico

Eligibility criteria of the EDC — Performance Security Insurance program

Eligibility for this grant is determined by specific conditions related to the commercial and political risks associated with the applicant's international trade activities.

The eligibility is assessed based on EDC's review of the letter of guarantee.
Considerations include the conditions and economic outlook in the applicant's customer's country.
The customer's profile is also reviewed to determine eligibility.
The potential for commercial risks, such as wrongful or excessive calls of bank instruments by the counterparty, is evaluated.
Potential political risks are considered, including rightful calls due to non-performance linked to war, export/import permit issues, government actions, acts of God, and unresolved commercial disputes.

Who is eligible?

Eligible companies for this grant must meet the criteria set by EDC, including having a letter of guarantee, a stable economic outlook in their country, and a suitable customer profile.

Companies with a letter of guarantee
Companies with a stable economic outlook in their country
Companies with a suitable customer profile

Eligible expenses

There are eligible expenses for this grant. The summary of eligible expenses includes:

Commercial risks coverage for wrongful or excessive calls of the bank instrument by the counterparty
Political risks coverage for rightful calls due to non-performance under the contract related to war, government actions, or acts of God

Eligibility criteria of the EDC — Performance Security Insurance program

There are evaluation and selection criteria for this grant. Eligibility is determined by EDC based on a review of the letter of guarantee, conditions and economic outlook in the customer’s country, and the customer’s profile. Commercial risks include wrongful or excessive calls of the bank instrument by the counterparty, while political risks involve rightful calls due to non-performance under the contract based on specific events.

Review of the letter of guarantee
Conditions and economic outlook in the customer’s country
Customer’s profile
Commercial risks: wrongful or excessive calls of the bank instrument
Political risks: rightful calls due to non-performance under the contract based on specified events

How to apply to the EDC — Performance Security Insurance program

Prepare Documentation

Review the terms and conditions of the letter of guarantee.
Analyze the economic outlook in your customer’s country and assess the customer’s profile.
Identify and document both commercial risks and political risks associated with the project.

Contact EDC

Reach out to EDC representatives to confirm your eligibility based on the prepared documentation.
Seek clarification on any specific requirements or additional documents needed.

Complete Application Forms

Obtain and fill out the necessary application forms provided by EDC.
Ensure all information is accurate, complete, and aligns with your initial documentation.

Submit Application

Compile all completed forms and supporting documents such as the letter of guarantee and risk assessments.
Submit the application package via EDC’s designated submission channel, which may be an online portal or physical mail.

Acknowledge Receipt

Upon submission, note any confirmation or application reference number provided by EDC.
Keep records of all submitted documents and confirmations for future reference.

Additional information

There is additional important information for grant applicants concerning the risks and coverage associated with the grant:

Understanding the commercial risks covered includes wrongful or excessive calls of the bank instrument by the counterparty based on contractual definitions.
Political risks are specified, including situations like war, permit cancellations, government actions after policy issuance, acts of God outside Canada, and unresolved commercial disputes.