B.C. must accelerate major projects and adopt a more pro-growth mindset if it wants to attract global investment capital, according to the president and CEO of the Royal Bank of Canada (RBC).

Speaking at a Greater Vancouver Board of Trade event on Friday, May 29, David McKay said B.C. has a significant opportunity to benefit from renewed interest in Canadian projects as Ottawa seeks to attract more foreign investment.

However, he cautioned that jurisdictions across the world are competing aggressively for capital.

“B.C. needs to enable these projects and be pro-growth, because now is our time, and I tell you, this capital will not wait because it’s going to move to somewhere else that’s shovel-ready,” said McKay.

McKay said B.C. and Canada need to move away from a “risk-averse” mindset and become more willing to accept mistakes and fix problems along the way to seize economic growth opportunities, which he said are essential to financing the country’s aging population.

“It feels like we have moved these timetables faster than in history, it’s still not fast enough because the world’s changing too [and is] getting faster,” he said.

The LNG market, for example, has many countries eyeing and competing to expand their market share, he added.

McKay said economic uncertainty continues to weigh on business investment decisions, with RBC seeing a pullback in commercial lending activity.

U.S. tariffs and upcoming discussions around the Canada-U.S.-Mexico Agreement (CUSMA) are key drivers of business uncertainty, he said, adding that geopolitical tensions in the Middle East and inflation, including elevated transportation and logistics costs, continue to put pressure on businesses.

However, consumer spending has remained relatively stable, reflected in the bank’s credit card data.

“The consumer continues to spend, continues to have less trips but more restaurants. [There is] good consumption activity,” he said. “Consumers stay in the game.”

Statistics Canada reported Friday that Canada’s gross domestic product (GDP) contracted for a second consecutive quarter in the first three months of 2026, meeting the common definition of a technical recession.

McKay said he is hopeful that the country is at a point that will start to see growth, with the federal government shifting toward a more economy-centric approach, with long-term investments expected to benefit the country in years ahead.

The federal government is also pushing for projects and pipeline access to global markets in sectors including critical minerals, agricultural, advanced manufacturing and emerging energy sources, which McKay said would strengthen Canada’s economy over the long term.

“These are all ideas that are running in parallel that I find super exciting, because we’ve gone through a decade where we didn’t talk about this stuff,” he said. “It just wasn’t on the radar screen of the government.”

For B.C., McKay acknowledged the challenges facing the province, including economic pressure from the downturn in the real estate market and declining numbers of new immigrants and temporary residents.

“It feels really bad right now. We feel that pain, it feels dark,” he said. “I really do think getting through this trade agreement and getting a positive immigration flow [in the future] will get this province back to many of the things that continue to drive success and prosperity.”

This requires all levels of government to work together to secure the opportunities, he added. 

“We can’t put our head in the sand and say we’re gonna be OK if we just keep doing the same old because the world’s not gonna be the same old anymore. The world’s changing.”

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