Hundreds of financial groups are working to raise funds to help countries achieve carbon neutrality by 2050, former Bank of England Governor Mark Carney told a conference on Wednesday. on the climate.
The Glasgow Financial Alliance for Net Zero brings together some 450 banks, insurers and pension funds with $130 trillion in assets.
Carney said the alliance would help the world achieve net zero emissions by 2050 “at the latest” and deliver “their fair share of 50% of emissions reductions this decade”.
Like countries under the Paris Agreement, investors will have to report on their climate finance progress every five years, said Carney, who will co-chair the process alongside the former New York mayor and politician. billionaire businessman Michael Bloomberg.
All eyes were on finance at Wednesday’s COP26 summit, with climate-vulnerable nations asking for financial support to help green their energy grids and respond to increasingly extreme drought and flooding.
Carney said the alliance would finally provide needed capital flows after years of broken promises from wealthy issuers. “The architecture of the global financial system has been transformed to deliver net zero,” he said. “We now have the essential plumbing in place to bring climate change from the margins to the forefront of finance so that every financial decision takes climate change into account.”
Campaign groups have reacted to the alliance with skepticism, pointing out that the funds involved are still investing heavily in oil and gas
Campaign groups have reacted to the alliance with skepticism, pointing out that the funds involved are still investing heavily in oil and gas. “Over $130 trillion and not a single rule to prevent a single dollar from being invested in expanding the fossil fuel sector,” said Lucie Pinson, director of the Reclaim Finance Initiative.
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