EDUCATION: Senator Rosa Galvez Reintroduces a Climate Aligned Finance Private Member’s Bill

Aligning Canada’s Financial System with the Climate Emergency

For nearly three years, we have been working Senator Rosa Galvez  alongside 120 civil society organizations to advance policies that align Canada’s financial system with the realities of the climate crisis.

On December 10, 2025, Senator Galvez presented an update on the Climate-Aligned Finance Act (CAFA), reintroduced in October 2025 as Senate Bill S-238.

CAFA is designed to ensure the financial sector responds effectively to climate change. The updated bill was strengthened through expert consultations, including:

• Removing references to specific capital risk-weights for financing fossil fuel activities.
• Requiring disclosure of board members with potential “climate conflicts” without mandating their removal.
• Ensuring that compliance with the new climate-alignment duties satisfies obligations under other laws.

Important Links

• Senate Bill S-238
• Press Release – October 29, 2025
• Our CAFA page
• Senato Galvez’s CAFA page here.
• Power point: 2025-12-10 CCL Canada Education Call_R, Galvez