Global Banks Reassess Climate Commitments as Major Members Exit Net-Zero Alliance

The Net-Zero Banking Alliance faces upheaval with proposed rule changes and high-profile withdrawals, raising concerns over weakened climate goals.

Nomura Holdings and other major banks, including Wall Street giants, have exited the Net-Zero Banking Alliance (NZBA), citing evolving regional rules and economic factors.
The NZBA is considering revising its goal from limiting global warming to 1.5°C to a less stringent target of staying well below 2°C, sparking criticism from climate advocates.
The alliance's leadership states that the proposed changes reflect shifts in science, policy, and regulatory landscapes, as well as member needs.
Donald Trump's second term as U.S. president and the country's withdrawal from the Paris Agreement have contributed to a wave of departures from the alliance by U.S., Canadian, Australian, and Japanese banks.
Critics argue that the NZBA's potential retreat from stricter climate targets undermines global efforts to address the climate crisis, with calls for stronger regulatory frameworks and accountability.