The Canadian federal government has allocated over $1 billion to Canada Post in the form of a repayable loan to assist the struggling Crown corporation in maintaining its financial stability and operational continuity. This financial aid, totaling $1.01 billion, is intended to serve as a short-term financial bridge. This sum is in addition to the $1.03 billion previously announced by Ottawa in January 2025.
Public Services and Procurement Canada emphasized the need for a clear plan to restore long-term stability for Canada Post, stating that despite its mandate for financial self-sustainability, the corporation has faced significant losses in recent years, necessitating immediate action. Canada Post had indicated the need for further financial support, as the previously allocated funds were projected to be depleted before the end of 2025, requiring access to short-term financing for the upcoming year.
The federal government’s latest financial assistance aims to sustain services while Canada Post implements reforms to ensure its long-term viability. The corporation acknowledged its substantial financial challenges and confirmed its submission of a transformation plan to the government, emphasizing the proactive measures it is willing to take to deliver sustainable services to Canadians.
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