Johnston, who was in Jerusalem on Saturday, tells The Canadian Press that resolving the historic conflict will help solve many of the problems currently plaguing the region.
He says Canada believes a two-state solution involving the creation of an independent state of Palestine next to Israel is the best solution.
Johnston’s comments coincide with growing concerns about the peace process.
Negotiations have been stalled for years, and there are fears that a new round of armed violence between Israelis and Palestinians could break out at any moment.
Johnston is the first sitting Governor General from Canada to make state visits to Israel and Jordan.