On Tuesday, January 7, JPMorgan Chase announced that it was leaving the Net-Zero Banking Alliance.
The mentioned financial institution has become the latest US lender to leave the specified largest climate coalition in the banking sector, amid growing political pressure in the United States.
Within a month, six of the biggest banks in the world’s largest economic system quit from the Net-Zero Banking Alliance. In this case, in addition to JPMorgan Chase, it means Wells Fargo, Morgan Stanley, Citi, Goldman Sachs, and Bank of America.
It is worth noting that JPMorgan Chase did not give a clear reason for leaving the climate coalition. In this context, it is appropriate to draw attention to the fact that the financial institution made the appropriate decision after several months of pressure from some Republican politicians who argued that membership in such coalitions could breach antitrust rules.
In a statement, a JPMorgan Chase spokesperson noted that this lender will continue to work independently to advance the interests of the bank, shareholders, and customers. It was also underlined that the financial institution will continue to focus on pragmatic solutions that will help further low-carbon technologies while advancing energy security.
Moreover, the JPMorgan Chase spokesperson stated that the lender will continue to support the banking and investment needs of clients who are engaged in energy transition and in decarbonizing different sectors of the economy.
It is worth noting that the United States banking sector is not abandoning its climate goals. At the same time, the previous format of cooperation between financial institutions to achieve corresponding goals is no longer relevant. It is unknown whether a new system of bank cooperation will be formed within the framework of climate initiatives.
