The bank plans to use its scale and global reach to seek to accelerate the transition to net zero by 2050 or sooner, saying achieving the Paris Agreement goals will require extra effort at a faster pace.
HSBC has made a significant pledge to combat climate change, saying that it will prioritize financing and investment that is line with the goals of the Paris Agreement, with $1 trillion set aside for green financing to support customers in the transition, it said in an announcement on Friday.
The bank is also targeting net zero in its own operations and supply chain by 2030 or sooner, and hopes to spur innovation and investing in next-generation climate solutions, and will work with peers and industries to introduce a global standard to measure financed emissions that will enable change.
«As we enter a pivotal decade of change, we have a landmark opportunity to accelerate our efforts to build a healthier, more resilient, and more sustainable future,» Noel Quinn, chief executive said in the announcement.
Climate Solutions
Among the «next-generation» climate solutions detailed in the announcement, the bank said it will build its HSBC Pollination Climate Asset Management joint venture into one of the world’s largest natural capital managers, set up a dedicated unit and tailored proposition to support CleanTech innovation companies, and launch a philanthropic program to donate $100 million to scale climate innovation ventures, renewable energy, and nature-based solutions until 2025.
It will also help transform sustainable infrastructure into a global asset class, and create a pipeline of bankable projects with the OECD and World Bank.
Finally, the bank said its new environmental, social and governance (ESG) solutions unit will lead its engagement with clients and launch new products and asset classes.
