subsidy

noun

sub·​si·​dy ˈsəb-sə-dē 

-zə-

plural subsidies

: a grant or gift of money: such as

a

: a sum of money formerly granted by the British Parliament to the crown and raised by special taxation

b

: money granted by one state to another

c

: a grant by a government to a private person or company to assist an enterprise deemed advantageous to the public

Synonyms of subsidy

• grant
• allotment
• appropriation

Examples of subsidy in a Sentence

The city is increasing subsidies for public transit.

government subsidies for farmers in case of crop failure

Recent Examples on the Web

The budget was largely in line with market expectations, at about 3 trillion yen ($19 billion), but comes as Japan still struggles with higher energy prices, rising subsidy costs, and a weak yen. —Lim Hui Jie, CNBC, 31 May 2026

His economic program leans on price controls, interest-rate subsidies, and import substitution, closer to old-school Latin American populism than to Bukele's pro-investment turn, and a world away from Milei's free-market project. —Armando Regil Velasco, FOXNews.com, 31 May 2026

Critics described the free permits as subsidies for oil and gas. —Los Angeles Times, 30 May 2026

The bill does not increase subsidies available to low-income renters and homeowners, or to potential homebuyers. —Alex Schwartz, The Conversation, 29 May 2026

Word History

Etymology

Middle English subsidie, from Anglo-French, from Latin subsidium reserve troops, support, assistance, from sub- near + sedēre to sit — more at sub-, sit

First Known Use

14th century, in the meaning defined above

Phrases Containing subsidy

• anti-subsidy

Kids Definition

subsidy

noun

sub·​si·​dy ˈsəb-səd-ē 

-zəd-

plural subsidies

: a grant or gift especially of money

especially : a grant by a government to a private person or company or to another government to assist an undertaking thought helpful to the public