Deutsche Bank CEO Christian Sewing warned that lenders “at risk of losing their business license” if they do not prioritize green finance because the group has set its own goals.
Germany’s largest bank announced on Thursday plans to increase funding for environmentally sustainable projects to around € 220 billion by 2023. This was two years ago Existing target..
Faced with pressure from investors and activists, Deutsche Bank broke its overall business goals for the first time. Investment banks need to account for 105 billion euros in green business. Private banks need to contribute € 86 billion and corporate banks need to contribute € 30 billion.
Sewing told investors that bank pushes are also seen as “a unique opportunity to gain market share.”
The banking industry is increasingly calling for some investors to stop lending to carbon-intensive projects and expand green lending. Pressure has increased since the 2015 Paris Agreement introduced a commitment to limit global warnings to levels well below 2 ° C compared to pre-industrial levels.
Deutsche Bank’s new goal has been criticized for being underdeveloped.
It’s “window dressing” and “just opportunism,” said Regine Richter, campaigner for environmental lobby group Urgewald, about the bank’s recent role as an advisor on the suspension of the initial public offering of oil and gas group Wintershall DEA. I pointed out. Client list including ExxonMobil and Chevron.
Deutsche Bank announced in July last year that it would “end” its global operations at the mine by at least 2025, while suspending financing for new oil and gas projects in the Arctic Circle.
Deutsche Bank has not set sustainability targets for DWS, an asset management business that is listed separately and operates as an independent company.
Last month, DWS received a mediocre rating in a sustainability ranking conducted by the French environmental lobby group Reclaim Finance. Germany’s largest asset manager was ranked 17th out of 29 European asset managers, followed by its French rival Axa Investment Manager.
Turn green or lose ‘licence to operate’, says Deutsche Bank chief Source link Turn green or lose ‘licence to operate’, says Deutsche Bank chief