# AI funding in Ontario

> There are 10 AI funding programs for businesses in Ontario. Of these, nine were open when we checked on October 15, 2026. FedDev Ontario in the south and FedNor in the north deliver federal AI adoption funding in Ontario.

## Covers project costs

| Program | Type | What it covers | Amount | Limits | Where | Status | Official page |
|---|---|---|---|---|---|---|---|
| [BDC LIFT](https://cantransform.ca/programs/bdc-lift/) | Loan | AI implementation, integration, data infrastructure and automation equipment | Loans of $25,000 to $5M | Principal can be postponed for up to two years | Canada-wide | Open | https://www.bdc.ca/en/lift |
| [Regional Artificial Intelligence Initiative](https://cantransform.ca/programs/regional-artificial-intelligence-initiative/) | Repayable, interest-free | AI adoption projects, including outside expertise and installation | Up to 50% of eligible costs | Repaid without interest. Minimums vary by region, from $125,000 in southern Ontario | By region | Open | https://ised-isde.canada.ca/site/ised/en/regional-artificial-intelligence-initiative |
| [Scale AI](https://cantransform.ca/programs/scale-ai/) | Grant | AI adoption projects across a supply or value chain, including contracts with service providers | Up to 40% of eligible expenses | Needs more than one participant, at least one with under 500 staff | Canada-wide | Open | https://www.scaleai.ca/projects/ |
| [Industrial AI Readiness Program](https://cantransform.ca/programs/ngen-industrial-ai-readiness/) | Grant | Fees from an AI service provider for a readiness evaluation and implementation plan | Up to $15,000 | Manufacturers under 500 staff, referred by an IRAP advisor | Canada-wide | Open | https://www.ngen.ca/funding/challenge/industrial-ai-readiness |
| [Critical Industrial Technologies, Sector Adoption](https://cantransform.ca/programs/ontario-critical-industrial-technologies/) | Grant | Sector-wide projects in AI and other critical technologies | Up to $1M of OCI support | For groups of companies led by a small or medium-sized Ontario business | Ontario | Closed to new projects | https://www.citinnovation.ca/program/sector-adoption-programs/ |
| [Digital Modernization and Adoption Plan](https://cantransform.ca/programs/ontario-dmap/) | Grant | A digital adoption plan written by a registered consultant | Up to $15,000 | For-profit Ontario companies with 1 to 499 staff | Ontario | Open while funds last | https://www.oc-innovation.ca/programs/digital-competence-centre/ |

## Staff training

| Program | Type | What it covers | Amount | Limits | Where | Status | Official page |
|---|---|---|---|---|---|---|---|
| [Ontario Job Grant](https://cantransform.ca/programs/ontario-job-grant/) | Grant | Third-party training for your staff, including AI skills | Up to $10,000 per trainee | Employers under 100 staff pay at least one-sixth. Larger employers pay half | Ontario | Open | https://www.ontario.ca/page/ontario-job-grant |

## Research and new products

| Program | Type | What it covers | Amount | Limits | Where | Status | Official page |
|---|---|---|---|---|---|---|---|
| [SR&ED tax incentive](https://cantransform.ca/programs/sred-tax-credit/) | Tax credit | Experimental development where the technical outcome is uncertain | 15% basic credit, 35% enhanced | Some corporations get the enhanced rate, and some get it as a refund | Canada-wide | Open | https://www.canada.ca/en/revenue-agency/services/scientific-research-experimental-development-tax-incentive-program/what-are-sred-tax-incentives.html |
| [NRC IRAP](https://cantransform.ca/programs/nrc-irap/) | Grant | Research and development of technology-driven products and services | Set project by project | Incorporated, for-profit companies with up to 500 staff | Canada-wide | Open | https://nrc.canada.ca/en/support-technology-innovation/financial-support-technology-innovation |
| [Mitacs Accelerate](https://cantransform.ca/programs/mitacs-accelerate/) | Grant | A graduate or postdoctoral research intern working on your project | $15,000 internship, of which you pay $7,500 | Four or six months per internship | Canada-wide | Open | https://www.mitacs.ca/our-programs/accelerate/ |

## Notes on each program

- BDC LIFT: The AI track needs $1M or more in revenue, and the equipment track needs $5M. It is a loan, and the AI track requires a paid BDC Advisory Services plan.
- Regional Artificial Intelligence Initiative: FedDev Ontario takes applications until January 19, 2027, or November 24, 2026 for projects starting before March 31, 2027. Adoption projects run $125,000 to $5M and need five full-time staff and three years of operations. In northern Ontario, FedNor assesses applications as they arrive.
- Scale AI: Not repaid. The project has to involve a partner, such as a supplier, a customer or the firm doing the build.
- Industrial AI Readiness Program: Manufacturers only. First come, first served until funding runs out. Final reports are due at the end of December 2026.
- Critical Industrial Technologies, Sector Adoption: For advanced manufacturing, agri-food, construction and mining. Closed to new projects when we checked.
- Digital Modernization and Adoption Plan: Covers the plan only. It does not cover the build. First come, first served.
- Ontario Job Grant: Pays for training by an outside Ontario trainer. It does not cover vendor product training or the build.
- SR&ED tax incentive: Applies when you are building something technically new. Configuring existing AI tools does not qualify.
- NRC IRAP: Funds your own product development through an IRAP advisor. It does not fund buying an implementation.
- Mitacs Accelerate: Pays an intern's stipend through a university. Useful for research capacity alongside a build.

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We checked these facts against official program pages on October 15, 2026. Only programs with the type "Grant" are grants. You repay a loan or a repayable contribution. Each program decides eligibility and approval. CanTransform is based in Toronto and is not affiliated with any government. Contact: https://cantransform.ca/contact/