Canada will host new multilateral defence bank

Canada is set to host a proposed mulitlateral defence bank designed to help fund the rearmament of nations facing heightened geopolitical risks, the country's finance ministry said in a statement late on Wednesday.



The statement said Canada had been working in Montreal with allies to agree a founding charter for the planned Defence, Security and Resilience Bank (DSRB). The other countries were not identified.



The DSRB has been proposed by former NATO security advisers, senior ex-military personnel and bankers.



Its aim is to found a triple-A rated institution capable of raising $135 billion to fund defence projects, particularly in countries that may struggle to access cheaper finance.



"Participating countries unanimously supported that, once ratified, Canada, which hosted the negotiations, will serve as host country for the DSRB’s future headquarters."



Canadian newspaper The Globe and Mail was first to report Canada was set to host the bank.



Canada has been the project's most high profile backer, with Prime Minister Mark Carney also voicing support. However, the initiative has also faced set-backs, with both Britain and Germany distancing themselves.