Citigroup and BofA Exit Net-Zero Banking Alliance Amid Pressure
Citigroup and Bank of America have announced their exit from the Net-Zero Banking Alliance, following similar moves by other major banks.
Citigroup, Bank of America, Net-Zero Banking Alliance, Wells Fargo, Goldman Sachs, Texas, USA
Bengaluru: So, here’s the scoop. Citigroup and Bank of America just announced they’re stepping away from the Net-Zero Banking Alliance. This group was all about cutting down greenhouse gas emissions, but it seems like they’re not feeling it anymore.
They’re not alone, though. Wells Fargo and Goldman Sachs made similar moves earlier this month. It looks like these big banks are trying to balance their green goals with some political pressure from Republican folks who aren’t too keen on limiting fossil fuel financing.
Citi mentioned they’ve made some good progress on their own net-zero targets, which is why they decided to leave. BofA, on the other hand, said they’ll keep working with clients on these issues, even if they’re not part of the alliance anymore.
The whole idea behind the Net-Zero Banking Alliance was to get banks to reduce carbon emissions from their lending and investments to zero by 2050. But with all this back and forth, it’s clear that the path to sustainability is a bit rocky for these financial giants.
And just last month, some big names in asset management, like BlackRock and Vanguard, got sued by Texas and a few other states. They claimed these firms were messing with the market by pushing climate agendas that hurt coal production and drove up energy prices. It’s a wild ride in the banking world right now!