Manitoba and Saskatchewan Government Funding for AI: Grants for Small Businesses in 2026

Manitoba and Saskatchewan businesses have a significant federal funding opportunity that many haven't fully explored: PrairiesCan's Regional Artificial Intelligence Initiative (RAII), which funds AI development and adoption projects across the Prairie provinces with a rolling intake and a program deadline of December 31, 2028. In April 2026, the federal government announced additional investment specifically for Saskatchewan's AI and innovation ecosystem. And in May, Vendasta — a Saskatchewan-based company — received $1.4 million through RAII to build AI workforce tools for local businesses, a visible example of what the program funds in practice.

This article covers what's available to Manitoba and Saskatchewan small businesses for AI adoption funding, how to access the main programs, and what provincial programs add to the federal baseline. Always verify program details and intake status at primary sources before applying.

PrairiesCan Regional Artificial Intelligence Initiative (RAII)

The Regional Artificial Intelligence Initiative is the most significant federal AI-specific funding program for businesses in Manitoba and Saskatchewan. Delivered by Prairies Economic Development Canada (PrairiesCan), the program has $33.8 million committed over five years (shared across Alberta, Saskatchewan, and Manitoba) and accepts applications on a rolling basis until December 31, 2028.

Key parameters for for-profit businesses:

• Project size: $250,000 to $5 million per project over up to three years
• Cost coverage: Up to 50% of eligible costs for for-profit businesses
• Non-profit coverage: Up to 90% for non-profit organizations (making it particularly valuable for industry associations and sector organizations that deliver AI programming to SMEs)
• Eligible activities: Commercializing AI technologies, integrating AI into business operations, building AI capability in startups, adopting AI solutions in priority sectors
• Priority sectors: Agriculture, clean technology, healthcare, manufacturing — all strongly represented in Manitoba and Saskatchewan

To start the process, contact PrairiesCan at 1-888-338-9378 or visit prairiescanda.gc.ca to discuss your project with a regional officer. The program funds both AI development (building AI) and AI adoption (using AI tools) — a broader scope than SR&ED, which requires genuine technological development.

The Agriculture AI Opportunity

For Manitoba and Saskatchewan businesses, agriculture is the sector with the deepest alignment between existing economic activity and AI adoption funding priorities. PrairiesCan's RAII explicitly names agriculture as a priority sector, and both provinces have significant agri-tech activity that AI is actively improving: precision agriculture, crop monitoring and yield prediction, livestock management, soil analysis, supply chain optimization, and grain trading analytics.

Beyond PrairiesCan, Saskatchewan's Ag-West Bio supports agricultural innovation and may connect businesses to sector-specific funding. Manitoba Agriculture has programs for agricultural technology adoption. Grain industry organizations and livestock associations in both provinces also facilitate access to funding and partnerships that general innovation programs don't capture. If your business applies AI to agriculture or food production, the funding landscape is richer than a search for "AI grants" alone will reveal.

Federal Programs Available in MB and SK

NRC IRAP AI Assist is available to businesses in both provinces. As with all regions, the program is advisor-led — you connect with an Industrial Technology Advisor at the National Research Council who assesses your situation before any funding is structured. Contact NRC IRAP at 1-877-994-4727 or nrc.canada.ca.

SR&ED tax credits apply equally in Manitoba and Saskatchewan for businesses developing AI technology. Manitoba has a provincial SR&ED credit that stacks on the federal credit; Saskatchewan does not currently have a provincial SR&ED credit (verify current status at your provincial revenue authority). See our SR&ED and AI guide for federal eligibility details after the Budget 2025 enhancements.

PrairiesCan Business Scale-up and Productivity (BSP) — A separate stream from RAII that supports business growth and productivity investments including AI adoption. Can fund hiring, technology infrastructure, and market development for businesses at a growth stage. Visit prairiescanda.gc.ca for current program availability.

Provincial Programs in Manitoba

Manitoba Trade and Investment (MTI) is the primary provincial economic development body, supporting business growth, market development, and technology adoption. Manitoba also has:

• Manitoba Technology Accelerator (MTA) — a Winnipeg-based organization supporting technology startups with programming and connections to investment
• North Forge Technology Exchange — innovation hub in Winnipeg connecting businesses with resources and funding networks
• Economic Development Winnipeg — municipal programs for Winnipeg businesses including technology and digital adoption support
• Sector-specific programs in manufacturing, clean energy, and agriculture

Contact Manitoba's Economic Development, Investment, Trade and Natural Resources ministry or visit gov.mb.ca for current provincial programs.

Provincial Programs in Saskatchewan

The federal government announced in April 2026 that it was investing in Saskatchewan's innovation ecosystems and AI to strengthen the province's tech sector — a signal of continued federal attention to the province's AI development.

Saskatchewan provincial programs include:

• Enterprise Saskatchewan — provincial economic development, including technology and innovation programs
• SaskBuilds and Procurement — provincial procurement and project development, relevant for businesses seeking government as a customer for AI solutions
• Saskatchewan Polytechnic and University of Regina/University of Saskatchewan — research partnership opportunities and Mitacs connections
• Innovation Place — Saskatoon and Regina technology parks with business development programming and connections to industry networks
• Ag-West Bio — agricultural biotech and technology innovation specific to Saskatchewan

Contact the Saskatchewan Ministry of Trade and Export Development or visit saskatchewan.ca for current provincial programs.

NGO and Community Programs in the Prairies

Beyond government programs, organizations like Futurpreneur Canada, regional Community Futures offices, and chambers of commerce in Winnipeg, Saskatoon, Regina, and smaller centres offer business support, financing, and connections to funding that are not captured in provincial or federal program listings. Community Futures offices in particular serve rural and smaller urban centres and are often the most accessible first point of contact for businesses outside major cities.