SHONDELL SABAD, SENIOR STRATEGIC ADVISOR AT AEG

Stephen McBride’s recent article, “We Must Defeat B.A.N.A.N.A.,” is a sharp reminder that the future isn’t guaranteed – it has to be built. In it, he recounts a research trip during which he spoke with founders working on mini‑nuclear reactors, asteroid‑mining satellites, supersonic jets, flying robots, AI tutors, and more. After more than 40 founder conversations, the takeaway was sobering: “The B.A.N.A.N.A. Blight” remains a major barrier – a tangled web of rules and agencies that chokes innovation and makes it nearly impossible to pursue ambitious physical‑world projects. The result, he argues, is a B.A.N.A.N.A. economy – Build Absolutely Nothing Anywhere Near Anything.

Why it’s damaging to innovation in the U.S. and Canada

• It turns time into an enemy. When approvals take years, innovators burn cash, miss market windows, and investors shift money toward “lighter” bets like software, where products can ship quickly.
• It raises the cost of ambition. Large‑scale physical innovation – energy, housing, manufacturing, critical minerals, transmission, data centres – requires permits, land‑use decisions, and community engagement. If every step is uncertain, fewer projects are proposed at all.
• It rewards incumbency over challengers. Big firms can afford lawyers and delays; many SMEs and startups cannot, so the next generation of builders gets crowded out.
• It worsens affordability and competitiveness. Canada’s housing crunch, for example, is widely linked to regulatory barriers and lengthy permitting timelines, which push costs up and supply down (C.D. Howe Institute)

Bottom line: A BANANA environment doesn’t just stall big ideas – it slows momentum across the entire economy. Prosperity is built through action, learning, and scaling what works. When “no” becomes the default setting, progress and innovation become far harder than they need to be.

Read more Stephen McBride’s article HERE.