In October 2020 the Canadian Government, along with the Canada Mortgage and Housing Corporation (CMHC) under the National Housing Strategy, initiated the Rapid Housing Initiative (RHI). 

This initiative was launched to address the dire needs of affordable housing in Canada, especially among the vulnerable population. The urgent need of affordable housing only escalated during COVID-19 and the RHI was implemented to create a sustainable action plan to create affordable housing. 

The RHI had an initial budget of $1billion dollars that was divided into two streams, the major cities stream and the project stream. 

Major Cities Stream: $500 million dollars provided immediate financial support to various municipalities. These cities were chosen based on levels of homelessness and housing needs.  

Project Stream: $500 million dollars provided to assist on projects based on applications from provinces, territories, municipalities, and Indigenous governing bodies that faced urgent needs for affordable housing. 

The initial budget was used to acquire land, cover building and construction costs and convert existing buildings. Phase 1 from October 2020 to March 2021, utilized the initial budget of $1billion dollars and was able to create 4,700 affordable housing units across Canada. Phase 2, given an additional $1.5billion dollars has already completed 4,500 units and is projected to create over 5,400 affordable units across Canada. 

Not only addressing the serious affordable housing need for vulnerable populations in Canada, this initiative is also contributing to Canada’s economic recovery plan from COVID-19 through increased employment in the housing and construction sectors.