If your business or organization operates in a vulnerable region of Quebec, Canada Economic Development for Quebec Regions (CED) can cover a large share of your project costs. The challenge is knowing which expenses are actually eligible under regional economic development grants in Quebec—especially under CED’s targeted support for economically vulnerable RCMs. Funding can cover up to 75% of authorized costs for SMEs and 90% for non-profits, but only if expenses fit CED’s rules.
This guide explains eligible expenses under regional economic development grants in Quebec, with a focus on the REGI and QEPD streams delivered by CED.
CED’s targeted support program helps stimulate economic growth in Quebec regions facing structural or demographic challenges. It supports projects that create real economic spin-offs, such as job creation, productivity gains, and regional revitalization.
Projects must be located in one of the following RCMs or regional administrations:
CED does not publish a single fixed expense list, but it clearly defines “authorized costs” based on project type and applicant. These are the expenses used to calculate your funding amount.
For most approved projects, eligible expenses under regional economic development grants in Quebec include:
These expenses must be reasonable, necessary, and directly related to achieving the project’s objectives.
Tools like GrantHub’s eligibility matcher can help you quickly filter CED programs and see which expense categories typically apply to your business and region.
Even strong projects can be rejected if budgets include ineligible costs. Under CED programs, funding usually does not cover:
CED assesses budgets line by line, so including ineligible expenses can reduce your approved funding amount or delay approval.
Funding levels depend on your organization type:
CED decides final percentages based on project impact, financial risk, and regional benefits.
Including full operating costs
Only expenses directly tied to the approved project count. Rent and utilities are rarely eligible unless clearly project-specific.
Spending before approval
Costs incurred before you receive written approval are usually excluded.
Overstating internal labour
Staff time must be realistic, documented, and directly linked to project tasks.
Ignoring regional impact
Even eligible expenses can be rejected if the project does not clearly benefit the target RCM.
Q: How much funding can an SME receive under CED’s regional grants?
SMEs can receive up to 75% of authorized project costs. The contribution is usually repayable and interest-free.
Q: Are CED contributions taxable income?
Government assistance is generally considered taxable income. You should confirm treatment with your accountant.
Q: When do repayments start for repayable CED funding?
Repayments typically begin two years after the project ends, giving businesses time to stabilize.
Q: Can municipalities or economic development agencies claim expenses?
Yes. Municipalities and regional economic development agencies are eligible applicants, and their project-related costs may qualify.
Q: What types of projects are prioritized?
CED prioritizes projects that generate measurable economic benefits, such as job creation, productivity improvements, or regional diversification.
GrantHub tracks hundreds of active grant programs across Canada, including CED streams—making it easier to see which ones align with your location, industry, and project costs.
Eligible expenses under regional economic development grants in Quebec can cover a large share of your growth costs—but only if your budget aligns with CED’s rules. Before applying, map each expense to a clear project outcome and regional benefit. GrantHub helps you compare CED programs, confirm eligibility, and prepare stronger applications with fewer surprises.
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