Canadian banks’ fossil fuel funding nearly double compared with renewables: report

Suncor's base plant with upgraders in the oilsands in Fort McMurray Alta, on Monday June 13, 2017. THE CANADIAN PRESS/Jason Franson

TORONTO — A new report says Canada’s big banks financed about US$145 billion in fossil fuel investments last year, compared with about US$75 billion to low-carbon energy.

The report by energy transition research firm BloombergNEF focuses on the ratio of global bank funding going to oil, gas and coal projects compared with low-carbon investments like wind, solar and electrical grids, as a way to see how much financial institutions are helping or hindering the transition.

BloombergNEF found that globally, the ratio for banks was 89 cents going toward low-carbon options for every dollar to fossil fuels in 2024, roughly the same rate as a year earlier.

The ratio for Canada’s Big Six banks was 0.61 to 1 last year, worsening from 0.67 to 1 in 2023. However, the picture was mixed, with some seeing a higher ratio of funding to renewables and others slipping.

The Canadian Bankers Association did not immediately respond to a request for comment.

Excluding National Bank — an outlier among the six major lenders as the only one to fund more renewables than fossil fuels — the ratio worked out to 0.49 to 1 in 2024, compared with 0.47 to 1 a year earlier.

Last year, RBC committed to release its own calculated energy supply ratio but said in April it would not be disclosing it publicly, citing new greenwashing laws, while Scotiabank has committed to releasing its findings next year.

RBC, which has also committed to provide $35 billion in low-carbon financing by 2030, fared the best among the Big Five banks with a ratio of 0.61 to 1.

TD Bank Group had the worst ratio of its Canadian banking peers with 31 cents going to low-carbon energy for every dollar directed at fossil fuels.

Canada’s big banks have set a target of net zero financed emissions by 2050.

This report by The Canadian Press was first published on Sept. 18, 2025.