The world’s largest climate coalition for financial firms, the Glasgow Financial Alliance for Net Zero (GFANZ), is making changes after several major banks and asset managers dropped out. The decision comes as industry-specific net zero alliances face backlash from politics and regulation.
GFANZ was established in 2021 to promote climate goals among financial institutions. However, it has lost several key members in recent months, including Goldman Sachs and Wells Fargo. This exodus coincides with a surge in lawsuits targeting firms seen as pro-climate.
As a result, GFANZ is rebranding itself, broadening its membership criteria to include any financial institution working on energy transition. The group now says it will “redouble” efforts to mobilize private capital. The shift aims to make the alliance more inclusive, particularly for emerging economies that have not set 2050 net zero goals.
GFANZ has grown significantly since its inception but faces increased scrutiny from US Republicans who accuse the alliances of anti-fossil fuel cartels. Despite this, the group remains a significant player in promoting climate action among financial institutions.
Source: https://finance.yahoo.com/news/top-climate-group-banks-asset-181216559.html