BMO and IIF Convene Defence Finance Forum to Drive Private Capital

October 20, 2026 - 02:09

BMO and the Institute of International Finance hosted the Defence Finance Forum, bringing together leaders from government, finance, and industry to strengthen Canada's defence, security, and resilience finance ecosystem. The event focused on how private capital can be mobilized to meet growing demands in a sector that has traditionally relied on public funding.

Participants examined the barriers that have kept institutional investors on the sidelines, including limited deal flow, unfamiliar risk profiles, and the need for clearer policy signals. Discussions centered on practical ways to close those gaps, from blended finance structures to closer coordination between public procurement and private investment strategies.

The forum also addressed the broader shift in global security spending, which has accelerated as allied nations reassess their defence priorities. Canada faces pressure to increase its own commitments while building a domestic industrial base capable of sustaining long-term production and innovation. Private capital is seen as essential to that effort, but only if the investment case is clear and the risks are shared in a transparent way.

Organizers said the conversations will inform follow-up work aimed at turning dialogue into concrete financing solutions. The goal is a more connected ecosystem where banks, insurers, pension funds, and defence firms can work together on projects that support national security and economic resilience.