Ecolabel for financial products

Reclaim Finance criticizes the third technical report from the European Commission's Joint Research Committee (JRC) regarding the EU Ecolabel for Retail Financial Products. The organization argues that new categories for companies 'investing in transition' or 'in green growth' allow polluting activities, including fossil fuels, to remain eligible for the label. Furthermore, Reclaim Finance highlights a reduction in the required percentage of 'green' activities for equity products and a provision allowing banks to use up to 30% of labeled savings accounts for loans to companies investing in polluting activities.

• The Joint Research Committee (JRC) introduced two new company categories—'companies investing in transition' and 'companies in green growth'—which allow firms conducting polluting activities listed in 'Criteria 3' to be included in Ecolabelled financial products.
• Reclaim Finance asserts that the 'transition' and 'green growth' categories are problematic because they allow companies to continue investing in polluting activities and fossil fuels without requiring a Paris-Aligned phase-out plan.
• The JRC's third report reduced the ambition of the Ecolabel by lowering the threshold for 'green' investments in equity products to less than 50%.
• The draft Ecolabel permits banks to allocate up to 30% of funds from labeled savings accounts toward loans for companies making new investments in polluting activities.

APA

admin (2020). Ecolabel for financial products. Reclaim Finance. https://reclaimfinance.org/site/en/2020/12/09/ecolabel-for-financial-products/

Chicago

admin. Ecolabel for financial products. Reclaim Finance, 2020. https://reclaimfinance.org/site/en/2020/12/09/ecolabel-for-financial-products/.

Wikipedia

{{cite press release |last1=admin |title=Ecolabel for financial products |publisher=Reclaim Finance |date=9 December 2020 |url=https://reclaimfinance.org/site/en/2020/12/09/ecolabel-for-financial-products/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{admin2020ecolabel, author = {admin}, title = {{Ecolabel for financial products}}, publisher = {Reclaim Finance}, year = {2020}, month = dec, url = {https://reclaimfinance.org/site/en/2020/12/09/ecolabel-for-financial-products/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }