The City of Toronto's emphasis on its "political stability" in a bid to host a multinational defence bank is causing friction with Quebec, where leaders accuse Toronto of using the specter of another independence referendum as a scare tactic.
Montreal, Vancouver, and Ottawa-Gatineau are also competing to become the home of the Defence, Security and Resilience Bank (DSRB), a financial institution designed to fund NATO-related security projects.
Quebec leaders cry foul
According to a report from Montreal-based La Presse, sources in Quebec claim Toronto is deliberately undermining Montreal's candidacy by highlighting political uncertainties in the province. Montreal Mayor Soraya Martinez Ferrada suggested Toronto is exploiting "fear," a sentiment echoed by Quebec's minister for Canadian relations. Paul St-Pierre Plamondon, leader of the pro-independence Parti Quebecois, called Toronto's arguments "unacceptable."
The controversy has reportedly divided Liberal MPs from Ontario and Quebec.
Toronto's pitch
Ontario Premier Doug Ford stated that Toronto, Ontario, and Canada "have everything the Defence, Security and Resilience Bank needs to succeed." He added, "If Canada is going to seriously compete to be the home of the DSRB, we need to make the best case possible to our allies. There can only be one choice for Canada: Toronto."
The province shared a 20-page document from December 2025 with the Toronto Sun, which includes Ford's remarks and twice references "political stability." However, La Presse reported that the city and province prepared a 110-page document. When asked about the discrepancy, a representative for the premier's office said La Presse did not contact them. The City of Toronto also provided only the 20-page document and declined to comment on the longer version.
Document details
The pro-Toronto document highlights the city's financial sector, tech expertise, and global connectivity. It explicitly differentiates Toronto from Montreal, stating: "While Montreal is a vital national economic centre and an important partner in Canada's defence and innovation ecosystem, Toronto aligns more closely with the specific operational, financial and talent requirements of the DSRB."
The document also notes that Toronto is "free of additional language or cultural compliance requirements" and boasts "unparalleled political stability, both on a national and global scale."
Quebec's response
Ironically, two Quebec provincial ministers may have inadvertently reinforced Toronto's point. Economy Minister Bernard Drainville said that if the bank is based in Montreal, "ideally" its boss would speak French. Meanwhile, International Relations Minister Christopher Skeete acknowledged that referendums "are not new in Quebec."
The federal government will ultimately decide the host city. The DSRB is expected to create 3,500 specialized, high-paying jobs. Toronto Mayor Olivia Chow touted the city's advantages, saying, "Toronto boasts Canada's largest hub for finance, international business, tech and innovation. Our talent pool is unmatched."
