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A new multilateral bank needs a home, and Canadian cities now get to compete for it.
Finance Minister François-Philippe Champagne on Friday launched the selection process for the city that will host the global headquarters of the Defence, Security and Resilience Bank (DSRB).
Why it matters: The DSRB is the multilateral institution Canada is leading to unlock long-term public and private financing for allied defence production and supply chains. The host city lands an international financial institution and the talent and investment that come with it.
"It will attract international talent, investment, and specialized financial expertise to Canada," Champagne said.
The process: Qualified municipalities must submit their applications by 11:59 p.m. Pacific time on Dec. 3. A call for proposals sets out the requirements and criteria.
Doug Guzman, CEO of the Defence Investment Agency, will lead the process.
He'll review the applications and send a shortlist to the finance minister and the prime minister.
The timeline: Canada and its partners will gather in Luxembourg on Nov. 30 to sign the bank's founding Articles of Agreement. The bank is expected to be fully operational in 2027.
The host city search builds on earlier milestones:
Negotiation of the Articles of Agreement in Montreal in April
Selection of Canada as headquarters host through multilateral negotiations in spring 2026
A declaration at the NATO summit in July by Canada, Albania, Belgium, Greece, Latvia, Luxembourg, Romania, Turkey and Ukraine of their shared intention to establish the bank
Membership stays open to other allies and close partners who share the bank's goals.
How it works: The DSRB will complement existing national and multilateral programs by filling financing gaps that governments and defence companies face. Backed by participating countries and run on sound banking principles, it will seek a AAA credit rating to expand access to long-term financing, cut borrowing costs and draw in commercial investment.
Small business angle: Guzman said the bank will open doors for Canadian companies, "including small and medium-sized businesses, to access investment and participate in allied defence markets."
"Hosting the Bank's headquarters in Canada is an important opportunity to demonstrate Canadian leadership and advance our collective security and resilience," he said.
The big picture: Canada's defence spending reached 2 per cent of GDP in 2025-26, with more than $65 billion spent, the government said. Ottawa says it's on track to hit 4 per cent this decade and 5 per cent by 2035 under NATO's Defence Investment Pledge.
What's next: The founding countries sign in Luxembourg on Nov. 30, bids close Dec. 3, and Guzman's shortlist then goes to the finance minister and the prime minister.
