Blended Finance Canada launched to unlock community capital

Blended Finance Canada, a new research and innovation hub, has been launched to help Canadian communities overcome funding barriers through blended finance models. Announced at the Victoria Forum, the initiative is a joint effort involving the University of Victoria’s Impact Investing Hub, Accelerating Community Energy Transformation (ACET), Scale Institute, and Spring.

The program aims to connect academic researchers, investors, governments, and businesses to co-develop financing solutions that transition projects from the idea stage to full implementation. By combining diverse capital sources—such as government grants, philanthropic funding, and private investment—the initiative seeks to reduce investment risks and cover early-stage costs. This approach is intended to make community-led projects, including renewable energy, affordable housing, and infrastructure, more attractive to traditional investors.

Blended Finance Canada will focus its work on four primary areas: research into capital structures and risk allocation; piloting and demonstration projects; connecting stakeholders through forums and working groups; and knowledge mobilization to build capacity across the country.