Nature: Canada’s hidden economic powerhouse

March 26, 2025

Canada’s economy isn’t just built on nature—it depends on it. Our forests, farmlands, oceans and wetlands don’t just make our landscapes beautiful. They also drive industries, create jobs and keep our communities strong. Yet, we often overlook just how much nature contributes to our financial well-being.

It’s time to start thinking of nature as more than just a resource or something nice to have and start recognizing it as a core driver of our economic future. By investing in the conservation, restoration and sustainable management of nature, we can boost our global competitiveness, create high-value jobs and ensure Canada’s prosperity for generations. Here’s how we can make it happen:

1. Open new markets for Canada's renewable resources

Canada’s forests, fisheries and farms are key to our economic success—but we need to ensure they stay competitive in a rapidly changing world. That means improving sustainability, enhancing efficiency and tapping into new opportunities.

Expand sustainable forestry: Increase the total area of certified sustainably managed forests and improve access to key export markets that prioritize sustainability, like the EU timber market.
Support value-added wood products: Support training and provide financial incentives to encourage companies to make better use of harvested wood, creating jobs and boosting profitability.
Invest in agri-tech: Strengthen Canada’s position as a global leader in sustainable food production by funding innovations that improve farm efficiency and resilience.

2. Unlock private investment in nature

Governments can’t do it alone—businesses and investors have a massive role to play in funding nature-based solutions. We just need to make it easier (and more attractive) for them to invest.

Strengthen nature-based markets: Improve forest carbon protocols and, in collaboration with Indigenous land stewards, develop new ones that support the sustainable management of different types of forests.
Mandate nature-related financial disclosures: Engage provinces and territories to promote the broad adoption of these disclosures across the economy, starting with crown corporations and federally regulated institutions.
Expand green bonds: Scale the federal green bond program to support more conservation, habitat restoration and climate resilience projects.
De-risk private investment: Provide anchor funding, concessional capital and guarantees to encourage businesses to invest in nature-based solutions.

3. Strengthen Canadian agriculture with nature-based solutions

Farmers are on the front lines of climate change, and investing in nature is one of the best ways to build a more resilient and profitable agricultural system.

Support regenerative farming: Provide R&D funding and financial incentives for farmers to adopt nature-based solutions that improve soil health and productivity.
Boost soil resilience: Help farmers strengthen soil health through better land management, reducing the need for expensive government risk-management programs.

4. Invest in Canada’s future by conserving and restoring nature

Conservation isn’t just about protecting wildlife—it’s a long-term investment in economic stability. A healthy environment supports industries like tourism, forestry and fisheries while making our communities more resilient.

Meet the 30x30 target: Accelerate action to protect 30% of Canada’s land and waters by 2030.
Support Indigenous-led conservation: Triple the number of federally recognized Indigenous Protected and Conserved Areas by 2030 with increased funding and capacity-building support.
Enhance carbon sequestration: Integrate nature-based solutions into Canada’s net-zero plan, including reforestation and soil restoration.
Speed up tree planting: Plant at least 500 million trees by 2027 in wildfire-impacted areas, high-carbon storage zones and urban spaces where they provide additional health benefits to local populations.
Develop a national wildfire strategy: Incorporate Indigenous fire management practices, improve early detection systems and boost firefighter capacity to protect communities and industries from increasing wildfire threats.

5. Build climate-resilient infrastructure

With extreme weather events on the rise, Canada needs infrastructure that can withstand floods, storms and wildfires. Nature can be a powerful ally in this fight.

Standardize natural capital accounting: Help municipalities and provinces identify cost-effective climate-resilient infrastructure investments, like urban forests, wetlands and green roofs.
Mandate natural infrastructure solutions: Require municipalities and provinces to integrate nature-based approaches into their infrastructure projects and streamline funding access.

Nature is the key to Canada’s economic success

Investing in nature is an environmental priority and an economic necessity. By making smart investments in the conservation, restoration and sustainable management of nature, Canada can lead the world in building a resilient, competitive and prosperous low-carbon economy. The question isn’t whether we can afford to invest in nature—the real question is whether we can afford not to.