Opening Hours: Mon-Fri 08:30 - 17:00

Email Us: | Call Us On: 01752 26 26 26


Credit Suisse cuts fossil fuel lending as part of £250bn green finance promise

Credit Suisse cuts fossil fuel lending as part of £250bn green finance promise

Swiss investment bank Credit Suisse has unveiled plans to provide more than £250bn in financing geared towards green bonds and the low-carbon economy over the next decade, as well as pledging to limit financing to the oil and gas sector.

Credit Suisse has confirmed that the £250bn sustainable financing will be issued over the next 10 years. Financing will predominantly target green bonds and low-carbon investments.

The company will also limit its spending in the oil and gas sector. As well as removing financing on offshore oil and gas initiatives located in the Arctic from future spending plans, the company will stop lending to any company that generates more than 25% of their revenue from fossil fuels, namely through thermal coal mining.

The bank is the latest to cut back lending to companies based on fossil fuel revenue, following similar announcements from the likes of BNP Paribas and the European Investment Bank.

Credit Suisse recently launched a consumer fund aimed at spurring progress towards the targets of Sustainable Development Goal (SDG) 12: Responsible Production and Consumption.

Credit Suisse has said it will use the finance raised through the fund, called the Responsible Consumer Fund, to invest in businesses whose core purpose is to drive a “paradigm shift” towards more sustainable models of consumption and production.

In November, Credit Suisse partnered with The World Bank to issue a $28.6m (£22.2m) bond aimed at financing the protection and restoration of fresh and saltwater resources and habitats. All bonds issued by the World Bank are designed to support projects that deliver progress against one or more of the SDGs.

Projects due to benefit from its financing include those working to establish coastal and marine protected areas; those which improve waste management in ways which reduce pollution in waterways and oceans; those which promote sustainable fisheries and aquaculture; and those working to implement strong environmental governance in coastal nations and regions.

In related news, multinational banking giant Citi has this week pledged to funnel $250bn (£192.5bn) into low-carbon solutions by the end of 2025, while Moody’s unveiled new Paris-Agreement-aligned climate targets.

American financial services major Moody’s Corporation has pledged to halve its direct (Scope 1) and power-related (Scope 2) emissions by 2030, against a 2019 baseline, as part of new Paris-aligned climate targets.

It commits Citi to providing $250bn in loans and grants to activities in renewable energy, clean technology, nature conservation, green buildings, energy efficiency and low-carbon transport within a five year period – up from the $164bn (£126.3bn) provided for these sectors between 2014 and 2019.

For corporates looking to gain more understanding on how to engage with banks and financial institutions on sustainable lending, edie recently hosts a one-hour webinar on climate disclosure and sustainable investment. Featuring expert speakers from ING, BlackRock, Tideway and UL, the webinar is now available to watch on-demand.

Original article here. Further information on renewables and how we can help in turning your organisation’s green and net-zero ambitions into ACTION here.

To discuss your own business energy challenges, including commercial electric vehicle charging, talk to us now on 01752 26 26 26 or contact us.

Share on facebook
Share on google
Share on twitter
Share on linkedin
Share on pinterest

Want to cut your energy costs or your energy usage?

Start your journey to energy efficiency with IU Energy, the UK’s top energy consultancy.

How much energy is your business currently wasting?

IU Energy is a multi-award-winning business, providing comprehensive energy management services to its B2B clients, including energy reduction solutions, renewables and independent energy procurement.


© Copyright IU Energy

Web Design by Penton Creative Ltd