Canadian financial services provider BMO Financial Group announced a new sustainable finance commitment, targeting $12 billion over ten years in affordable housing finance in Canada.

Activities included in the new commitment encompass lending, investing and underwriting solutions for retail, commercial and corporate clients involved in affordable housing. Additionally, the bank has pledged to increase access to quality housing for indigenous communities.

BMO stated that the new goal supports aspiration of the Canada Mortgage and Housing Corporation (CMHC), Canada’s national housing agency, for everyone in Canada to have a home they can afford, and that meets their needs by 2030.

Sharon Haward-Laird, General Counsel and Co-Chair of BMO’s Sustainability Council, BMO Financial Group, said:

“We’re proud to support CMHC’s vision while aligning strongly with BMO’s Purpose to Grow the Good by committing $12 billion to economic and social inclusion through affordable housing. Investing in housing for all Canadians means removing barriers that exclude so many from a better life.”

The new commitment will be managed by BMO’s Sustainable Finance Group. The announcement follows the recent introduction by the bank of a series of sustainability targets, including a sustainable finance goal to deploy $300 billion in capital to clients pursuing sustainable outcomes through green, social and sustainable lending, underwriting, advisory services, and investment by 2025.

Romy Bowers, President & CEO, CMHC, said:

“We are truly pleased to have BMO join us in our efforts to create a new generation of housing in Canada. Safe and affordable housing is a basic need to create a more inclusive society. Governments alone cannot solve Canada’s housing challenges. The private sector also has a role to play in building strong, vibrant communities for all. I hope commitments such as this one from BMO today inspires more companies to help us achieve our goal of housing affordability for everyone living in Canada.”