Zero Aussies in the Net-Zero Banking Alliance

John Kavanagh

Australian banks are notably absent from the list of 43 founding members of the latest United Nations climate initiative, Net-Zero Banking Alliance.

Signatories from 23 countries participated in the launch of the UN-convened body this week, committing to “aligning their lending and investment portfolios with net-zero emissions by 2050”.

The alliance will support a range of decarbonisation initiatives, “providing an internationally coherent framework and guidelines in which to operate.”

The lack of any Australian bank participation is surprising in light of the involvement of a number of local banks in the development of the Australian Sustainable Finance Initiative roadmap last November.

Among the recommendations in the roadmap is a commitment by signatories to “promote climate risk mitigation strategies.”

One of ASFI’s goals is “to direct capital to where it will deliver a transition to a net zero, resource efficient and inclusive economy.”