The world's largest banks are withdrawing from climate commitment: LSE Report The London School of Economics (LSE) published the report "Banking Transition Country 2026", in which it evaluated 36 of the world's largest banks. The main conclusion: banks not only slow down climate action - some completely abandon the commitments made in the past. What the report showed for the first time since 2019, none of the 26 banks that conducted in the last three years set new climate targets. The average score on "net-zero liabilities" dropped from 33% in 2024 to 22% in 2026. Half of the banks were weakened in the discovery of at least one of the indicators. Reasons for US Political Pressure Participation in climate alliances such as the Net-Zero Banking Alliance (NZBA) is seen as a potential risk to confidence. All six major US banks - JPMorgan, Bank of America, Goldman Sachs, Citigroup, Morgan Stanley and Wells Fargo - have left the NZBA in 2024-2025. In 2022, 19 state attorneys initiated an investigation against the banks for participating in the alliance. Commercial interests The net zero commitments limit financing of fossil fuels - an industry that generates significant revenues during periods of high energy prices. Forecasts for Carbon Market Banks act as a key intermediary and market maker in carbon markets. Their withdrawal could lead to a decrease in liquidity and a reduction in the number of innovative financial products. As analysts have noted, the trend indicates that climate project financing is moving from the private sector back to the public sector and market mechanisms. The bottom line "green transition" proved viable right up until the moment it started costing money. The LSE report documents a systemic change: banks keep climate rhetoric on their reports, but remove commitments that get in the way of making a profit.

The world's largest banks are withdrawing from climate commitment: LSE Report The London School of Economics (LSE) published the report "Banking Transition Country 2026", in which it evaluated 36 of the world's largest banks. The main conclusion: banks not only slow down climate action - some completely abandon the commitments made in the past. What the report showed for the first time since 2019, none of the 26 banks that conducted in the last three years set new climate targets. The average score on "net-zero liabilities" dropped from 33% in 2024 to 22% in 2026. Half of the banks were weakened in the discovery of at least one of the indicators. Reasons for US Political Pressure Participation in climate alliances such as the Net-Zero Banking Alliance (NZBA) is seen as a potential risk to confidence. All six major US banks - JPMorgan, Bank of America, Goldman Sachs, Citigroup, Morgan Stanley and Wells Fargo - have left the NZBA in 2024-2025. In 2022, 19 state attorneys initiated an investigation against the banks for participating in the alliance. Commercial interests The net zero commitments limit financing of fossil fuels - an industry that generates significant revenues during periods of high energy prices. Forecasts for Carbon Market Banks act as a key intermediary and market maker in carbon markets. Their withdrawal could lead to a decrease in liquidity and a reduction in the number of innovative financial products. As analysts have noted, the trend indicates that climate project financing is moving from the private sector back to the public sector and market mechanisms. The bottom line "green transition" proved viable right up until the moment it started costing money. The LSE report documents a systemic change: banks keep climate rhetoric on their reports, but remove commitments that get in the way of making a profit.