Complacency is the biggest risk that Canada faces, not tariffs, says National Bank CEO

Laurent Ferreira, chief executive of National Bank of Canada, said the next government needs to address economic and productivity issues to ensure projects get approved faster. Photo by Shaughn Butts/Postmedia files

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Laurent Ferreira said the economic environment has “dramatically” changed and that the risk of a global recession was “real.” To tackle the situation, Canada needs to act “quickly and decisively” and make the most of its strengths.

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“With abundant natural resources and a vibrant energy sector, we can help address global challenges from security to sustainability,” he said at National Bank’s annual general meeting (AGM) on Thursday. “We need to support the development of strategic energy infrastructure in both renewables and oil and gas.”

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United States President Donald Trump’s tariffs have created a sense of urgency among Canadian businesses and politicians about the need to reduce the country’s reliance on the U.S. by focusing on homegrown strengths, such as developing natural resources, to boost the economy.

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The CEOs of Canada’s biggest banks have emphasized the need to stick to that path in recent weeks.

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Royal Bank of Canada chief executive Dave McKay said at the bank’s AGM earlier this month that there were plenty of opportunities that Canada has failed to seize due to its tax policy, the difficulty in getting things approved and a lack of ambition.

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Similarly, Bank of Nova Scotia chief executive Scott Thomson said Canada has let its growth and productivity “stagnate” for too long, so it now finds itself at a crossroads.

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“Canada must focus on building the capacity and means to grow without relying solely on external relationships that the country has perhaps taken for granted,” he said at the lender’s AGM. “Canada needs a growth-first agenda.”

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Ferreira said the next government needs to address these issues and ensure that projects get approved faster. He also said provinces and territories should keep trying to eliminate trade barriers between them.

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