Let’s take a dive into this week's news from the banking sector.
News wrap
- Research from Banking on Climate Chaos reveals that the top 60 banks have funnelled a grand total of $5.5 trillion dollars into the fossil fuel industry since 2016. The report found that JP Morgan and Citi are leading the global fossil fuel funders. RBC is the biggest funder in 2022. And over in Europe, Barclays is the leading fossil fuel funder since 2016. Read more on the report here.
- Over 40% of Gen Z and Millennial have changed or plan to change jobs due to climate concerns, according to a survey by Deloitte. The survey found that climate change is a major worry for these generations, with around 60% feeling anxious about the environment and over 70% actively trying to minimise their impact.
- People investing their pensions in funds that claim green credentials are being warned that they may actually be backing the world’s largest oil and gas companies. Carbon Tracker Initiative reported that asset managers have invested $376bn (£295bn) in oil and gas companies, despite publicly pledging to back efforts to limit global temperature rises to 1.5C.
- French bank BNP Paribas has committed to financing restrictions that will impact its upstream oil client base and a commitment to no longer directly finance new oil and gas fields. This is the second time in three months that they have updated their climate policies. This change follows a letter from ShareAction to investors to five major European financiers of top companies with oil and gas expansion plans. The letters urged the banks such as Barclays, Deutsche Bank and Societe Generale to stop directly financing new oil and gas fields and take action against the companies behind these fields. Whilst this is a step in the right direction it still fails to meet the requirements of the Paris agreement.
Hear what other professionals in the banking industry are saying on banks' role in the climate crisis…
“The climate crisis is something banks will have to adapt to and we should start by quickly reducing funding for it” - Citi staff member, New York.
"I know that all banks are funding fossil fuels. But for RBC to be #1 in the world is something that has to change very soon" - RBC staff member, Toronto.
“Banks might take a while to fully stop funding fossil fuels but we should be rapidly upping our green funding at the same time” - Barclays staff member, London.
“I know of a few positive steps happening within the bank, and I’m hoping that more staff get involved to build on them” - Citi staff member, New York.
Take part
While some banks are making positive commitments to address the climate crisis, others are continuing to finance fossil fuel companies exploring brand new oil and gas. People across banking are sharing thoughts with us on banks and the climate.
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