LONDON (Reuters) -Investment bank Morgan Stanley said on Thursday it had decided to leave the Net-Zero Banking Alliance, becoming the latest U.S. lender to quit the sector’s top global climate coalition. While the bank gave no reason for its decision, top banks have been under pressure from some U.S. Republican politicians over their membership, with […]
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Morgan Stanley to leave sector climate coalition
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LONDON (Reuters) -Investment bank Morgan Stanley said on Thursday it had decided to leave the Net-Zero Banking Alliance, becoming the latest U.S. lender to quit the sector’s top global climate coalition.
While the bank gave no reason for its decision, top banks have been under pressure from some U.S. Republican politicians over their membership, with accusations that any move to limit finance to fossil fuel companies could breach antitrust rules.
Despite leaving the NZBA, Morgan Stanley said in a statement that its commitment to helping the world transition to net-zero carbon emissions “remains unchanged.”
“We aim to contribute to real-economy decarbonization by providing our clients with the advice and capital required to transform business models and reduce carbon intensity,” it said.
The bank said it would also continue to report on its efforts toward previously set 2030 targets to reduce the emissions tied to its loan book.
The decision by Morgan Stanley follows similar moves in recent weeks by Citigroup, Bank of America, Wells Fargo and Goldman Sachs.
A U.S.-based environmental advocacy group urged New York state on Thursday to regulate the financial sector and ensure its policies align with climate goals.
“These exits reveal the inadequacy of voluntary commitments and underscore the urgent need for state-level leadership and regulation,” Vanessa Fajans-Turner, executive director of Environmental Advocates NY, said in a statement.
(Reporting by Simon Jessop; Additional reporting by Manya Saini; Editing by Susan Fenton and Richard Chang)