SDG 17: Partnerships for the goals

How the Government of Canada contributes

Canada recognizes that meeting the ambitious goals of the Paris Agreement will require a global effort. In 2019 to 2020, Canada contributed more than $700 million in bilateral international assistance to address climate change. In addition, Canada also provides institutional support to multilateral organizations which support initiatives to address climate change (such as the Global Environment Facility and the Least Developed Countries Fund). However, the transition to low-emission, climate-resilient economies will require substantially more financing, from all actors and sources. That is why the Government of Canada is working with partners to tap into the significant potential for investment in climate solutions by the private sector and helping to mobilize additional climate finance in developing countries.

In support of the Paris Agreement, Canada's climate finance commitments encompass a wide range of climate mitigation and adaptation measures in developing countries, especially the poorest and most vulnerable, including the least-developed countries, Small Island Developing States and coastal communities. On June 13, 2021, Canada announced a doubling of its climate finance to $5.3 billion over the next 5 years, including increased support for adaptation as well as nature and nature-based solutions. This ambitious commitment will support developing countries in building domestic capacity to combat climate change—including through transition to clean energy and the phasing-out of coal—and biodiversity loss around the world. Canada will increase its provision of funding toward climate adaptation to a minimum of 40%. As well, at least 20% of Canada's international climate finance commitment will be allocated to projects that have nature-based climate solutions and biodiversity co-benefits. This commitment builds on Canada's recently delivered $2.65-billion, 5-year climate finance commitment to help developing countries, particularly the poorest and most at-risk, transition to climate-resilient and low-carbon economies.

Canada's commitment is delivered through a variety of bilateral and multilateral initiatives to help developing countries in implementing their Nationally Determined Contributions, National Biodiversity Strategies and Action Plans, and National Adaptation Plans, including the Green Climate Fund, the largest dedicated climate fund in the world. Canada's approach includes partnering with Multilateral Development Banks, such as the Asian Development Bank and the World Bank Group, to establish Canadian climate funds to leverage private sector financing by removing market barriers to private climate investment in developing countries. This includes using targeted amounts of concessional finance (in other words, below market rate) to demonstrate the commercial viability of projects and unlock future private investments in similar initiatives.

Canada supports target sectors such as clean technology and renewable energy, waste management and strengthening monitoring, reporting and verification systems, climate-smart agriculture, nature-based solutions and biodiversity, forest management, and risk insurance. For example, Canada is supporting innovation on climate-resilient agriculture and food systems through the Consultative Group on International Agricultural Research, a global research partnership that aims to transform food, land and water systems to not only strengthen food security and end hunger, but also promote gender equality, create new jobs and livelihoods, and deliver climate and environmental benefits around the world.

Canada has also announced investments of up to $57.5 million to help the world's poorest and most vulnerable countries adapt to the climate crisis and increase their resilience.

Canada's climate finance commitment aligns with Canada's Feminist International Assistance Policy that guides Canada's overall approach on international assistance. Canada's international climate finance has a strong focus on gender equality and the empowerment of women and girls. Canada's $5.3 billion climate finance will ensure that 80% of its projects integrate gender equality considerations. Global Affairs Canada's Private Sector Engagement for Sustainable Development strategy guides Canada's work with the private sector in international assistance toward the achievement of the Sustainable Development Goals.

The Government of Canada engages bilaterally and regionally to advance its strategic climate change, environmental protection, and biodiversity priorities. It pursues an ambitious trade and investment agenda and actively promotes trade and investment in goods and services needed to protect Canada's natural environment.

Canada's overall approach to environment in its free trade agreement (FTA) negotiations is based on the guiding principle that trade and environment should be mutually supportive, incorporating environmental considerations and obligations to ensure that strong environmental standards are upheld by all Parties. All but one of Canada's free trade agreements contain environmental provisions (the Canada-European Free Trade Association FTA is an exception). Some of these are contained in parallel environment agreements, while some are contained within the main text of the agreement, including in standalone environment chapters. In these environment chapters, Canada also seeks to include commitments in areas that strengthen the relationship between trade and environment, such as supporting trade in environmental goods and services, as well as commitments on a range of global environmental issues.