US Banks Abandon Net-Zero Finance Alliance Amid Rising ESG Scrutiny

Upstream

In a significant move, six major US banks, including JP Morgan, Goldman Sachs, and Bank of America, have withdrawn from the Net Zero Banking Alliance, citing mounting Environmental, Social, and Governance (ESG) pressure. This exodus marks a notable shift in the banking industry's approach to sustainable finance and climate change initiatives. As ESG concerns continue to grow, banks are reevaluating their commitments to net-zero emissions and sustainability goals, with some opting to abandon ship. The withdrawals have sparked debate about the effectiveness of such alliances in driving meaningful change. With ESG investing and climate finance gaining traction, the banking sector's response to these challenges will be closely watched.