Madam Chair and members of the committee, I'd like to thank you for inviting me to speak to you about the Business Development Bank of Canada.
The Business Development Bank of Canada is the only bank dedicated exclusively to Canadian entrepreneurs. Its mission is to support them by providing financing, advisory services and venture capital.
We operate on commercial principles, supporting over 107,000 clients across the country. Of these, about 7% export. As outlined in the BDC Act, we are focused on the domestic market, with the export-enabling role for businesses well served by sister Crowns, such as the EDC.
Our view is that the BDC's role in helping create, grow and scale SMEs creates the ideal preconditions for exporting companies. Small and medium-sized enterprises are the backbone of the Canadian economy. They represent 99.7% of all businesses and account for 64% of private sector employment.
That's why the Business Development Bank of Canada has a presence across the country, with 109 business centres. Thanks to this nationwide presence, our loan and interest portfolio stood at $57 billion at the end of the 2025 fiscal year.
This work generates tangible economic benefits for Canada. Based on the 2025 fiscal year, the Business Development Bank of Canada estimates that its activities will contribute $25 billion to Canada's gross domestic product over the next five years.
We are equally committed to delivering value to our shareholder, the Government of Canada, by operating as a well-managed Crown corporation. The BDC operates on commercial principles, remains profitable and fully funds its core operations. This ensures that we do not rely on taxpayer funding. In fact, our profitability has allowed us to return dividends back to Canadians. Over the past five years, BDC has paid $1.4 billion to the Government of Canada.
When it comes to international trade, the Business Development Bank of Canada makes a meaningful contribution to the broader effort to support businesses grappling with tariffs and the persistent uncertainty associated with them.
Through our core activities, we provide working capital to help businesses continue to grow while protecting their liquidity. We also offer advisory services to strengthen businesses' strategies, operations and productivity.
I'm joined today by our chief economist, Pierre Cléroux, whose team has delivered over 280 presentations across the country since the tariffs were introduced, in addition to producing accessible research and tools that support entrepreneurs and inform them in their business decisions.
We also play a key role within the Government of Canada's broader tariff response, delivering a number of tariff relief programs with flexible financing and advisory services to help businesses adapt and continue to grow. This includes about $200 million in loans and close to 600 advisory mandates delivered under the pivot to grow program for smaller businesses directly affected by U.S. tariffs or the uncertainty they cause.
For softwood lumber businesses, the BDC has guaranteed over $300 million in loans and letters of credit through partner financial institutions.
More recently, the Business Development Bank of Canada was tasked with implementing a $1 billion funding package for companies in the steel and aluminum sectors to help viable businesses remain operational and resilient in the coming months.
The Business Development Bank of Canada remains firmly committed to supporting Canadian entrepreneurs during this period of uncertainty, while continuing to operate on a financially sustainable basis and delivering value to Canadians.
Thank you. I would be happy to answer any questions from committee members.