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Rural Economic Development (RED) program - Ontario - Canada
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Rural Economic Development (RED) program

Last Update: March 6, 2026
Ontario, Canada
Supports rural community economic development in Ontario
Grant and Funding

Overview

The Rural Economic Development (RED) program provides up to $250,000 in funding to support activities aimed at strengthening rural communities through economic diversification, infrastructure improvements, and workforce attraction and retention. Eligible projects include economic infrastructure development, technology adoption initiatives, and business succession support.

At a glance

Funding available

Financing goals
  • Integrate new technologies
  • Improve employee retention
  • Develop employee skills
Eligible Funding
  • Maximum amount : 250,000 $
Timeline
  • Closing date : February 23, 2023

Eligible candidates

Eligible Industries
  • All industries
Location
  • Ontario
Legal structures
  • Non-profit
  • Public or Parapublic institution
Annual revenue
  • All revenue ranges
Organisation size
  • All organization sizes
Audience
  • Indigenous Peoples
  • Rural or Northern Residents
Non-profit candidates
Sector of operation
  • Culture and Arts
  • Economic, Social and Community Development
  • Employment and Training
  • Business Associations
  • Children and Youth Organizations
Target groups
  • Children & youth
  • Indigenous peoples
  • Rural / Remote communities
  • Business owners / entrepreneurs
Revenue structures
  • All structures
Scope
  • Local
  • Municipal
  • Regional
  • Provincial

Activities funded

  • Entrepreneurship and business succession support, including coaching, mentorship, and connecting buyers with retiring business owners.
  • Business retention and expansion initiatives as part of the OMAFRA's Business Retention and Expansion Program, including market data collection and action plan implementation.
  • Downtown revitalization projects that promote and improve traditional downtowns, such as customer traffic growth and business attraction through marketing.
  • Technology adoption and innovation initiatives to enhance digital capabilities and participation in the information economy, including digital training and support services.
  • Attraction and retention strategies for workers, immigrants, and youth, such as employee pooling and career days/events.
  • Collaborative marketing and outreach campaigns that impact multiple communities, including investment attraction and tourism promotion.
  • Sector and value chain development strategies to strengthen collaboration, such as buyer-seller forums and specialized business training.
  • Rehabilitation of cultural, heritage, or tourism attractions to support economic development, like restoring historical buildings.
  • Redevelopment of vacant or underutilized buildings for economic development purposes, such as creating incubators or innovation hubs.
  • Streetscaping and landscaping projects to improve public area design quality, including beautification efforts with decorative elements and public art.

Eligibility

  • The applicant must be a municipality, a not-for-profit entity, an Ontario Indigenous community or organization, or a Local Services Board.

Who is eligible?

  • Municipalities
  • Not-for-profit entities
  • Ontario Indigenous communities or organizations
  • Local Services Boards

Eligible expenses

  • Non-capital costs for projects under the Economic Diversification and Competitiveness Stream.
  • Minor capital costs for projects under the Strategic Economic Infrastructure Stream.

Eligible geographic areas

  • Rural communities in Ontario, Canada.

Selection criteria

  • Basic eligibility criteria, including that the project takes place in and benefits rural Ontario.
  • Alignment with the RED program’s outcomes.
  • Collaboration and partnerships.
  • Reducing economic barriers.
  • Regional, sector, or value chain impacts.
  • Project work plan.
  • Project budget, including reasonable and eligible project costs.
  • Financial commitment.
  • Sustainability beyond the project timelines.
  • Project oversight.

Additional information

  • The program is now closed and new guidelines and applications for the Rural Ontario Development Program will be available in late winter 2025.
  • The timeframe of the project cannot be extended without the written approval of the Ministry of Agriculture, Food and Rural Affairs (OMAFRA).
  • All selected applicants must enter into a contribution agreement with the Province of Ontario.
  • All applicants have joint and several liability for any funded project.
  • Funding may be provided at the amount or percentage requested, or at a reduced amount or percentage, subject to limits within each stream.
Apply to this program

Frequently Asked Questions about the Rural Economic Development (RED) program Program

Here are answers to the most common questions about the Rural Economic Development (RED) program. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.

What is the Rural Economic Development (RED) program?

The Rural Economic Development (RED) program provides up to $250,000 in funding to support activities aimed at strengthening rural communities through economic diversification, infrastructure improvements, and workforce attraction and retention. Eligible projects include economic infrastructure development, technology adoption initiatives, and business succession support.

How much funding can be received?

Rural Economic Development (RED) program Funds up to $250,000 of admissible expenses.

Who is eligible for the Rural Economic Development (RED) program program?

To be eligible for the Rural Economic Development (RED) program program, you must: The applicant must be a municipality. The applicant must be a not-for-profit entity. The applicant must be an Ontario Indigenous community or organization or a Local Services Board.

What expenses are eligible under Rural Economic Development (RED) program?

Entrepreneurship and business succession support, including coaching, mentorship, and connecting buyers with retiring business owners. Business retention and expansion initiatives as part of the OMAFRA's Business Retention and Expansion Program, including market data collection and action plan implementation. Downtown revitalization projects that promote and improve traditional downtowns, such as customer traffic growth and business attraction through marketing. Technology adoption and innovation initiatives to enhance digital capabilities and participation in the information economy, including digital training and support services. Attraction and retention strategies for workers, immigrants, and youth, such as employee pooling and career days/events. Collaborative marketing and outreach campaigns that impact multiple communities, including investment attraction and tourism promotion. Sector and value chain development strategies to strengthen collaboration, such as buyer-seller forums and specialized business training. Rehabilitation of cultural, heritage, or tourism attractions to support economic development, like restoring historical buildings. Redevelopment of vacant or underutilized buildings for economic development purposes, such as creating incubators or innovation hubs. Streetscaping and landscaping projects to improve public area design quality, including beautification efforts with decorative elements and public art.

Who can I contact for more information about the Rural Economic Development (RED) program?

You can contact Government of Ontario (ON).

Where is the Rural Economic Development (RED) program available?

The Rural Economic Development (RED) program program is available the province of Ontario.

Is the Rural Economic Development (RED) program a grant, loan, or tax credit?

Rural Economic Development (RED) program is a Grant and Funding