G7s commercial banks prop up the global coal industry

Between 2021 and 2023, commercial banks in G7 countries provided US$101 billion to the coal industry, with American and Japanese banks contributing over US$73 billion. The report highlights that this financing exceeds the G7-led pledges for Just Energy Transition Partnerships (JETPs) and calls for stricter capital requirements and prohibitions to ensure a phase-out aligned with 1.5°C goals.

• Between 2021 and 2023, commercial banks in G7 countries provided US$101 billion to the coal industry. Six of the seven G7 members are among the top 10 countries globally for commercial bank financing of coal.
• American and Japanese banks are the primary contributors to coal financing within the G7, collectively directing more than US$73 billion to the sector over the last three years. American banks are identified as the largest coal lenders globally, providing US$49 billion in loans and capital market issuances during this period.
• Specific financial institutions are highlighted for their roles: Mizuho is the world's top coal lender, followed by Bank of America. Other Japanese megabanks, MUFG and SMBC, rank third and fourth, providing over US$6 billion in loans. Bank of America increased its coal financing by 30% between 2016 and 2023.
• The amount of coal funding provided by G7 commercial banks over the last three years is more than double the amount pledged by the G7-led International Partners Group for Just Energy Transition Partnerships (JETPs).
• The G7's commitment to exit coal power by the first half of the 2030s is deemed insufficient to limit global warming to 1.5°C. Additionally, while most G7 members have domestic phase-out targets, Japan has not yet set one.

APA

Martin, L. (2024). G7s commercial banks prop up the global coal industry. Reclaim Finance. https://reclaimfinance.org/site/en/2024/06/13/g7s-commercial-banks-prop-up-the-global-coal-industry/

Chicago

Martin, Léo. G7s commercial banks prop up the global coal industry. Reclaim Finance, 2024. https://reclaimfinance.org/site/en/2024/06/13/g7s-commercial-banks-prop-up-the-global-coal-industry/.

Wikipedia

{{cite press release |last1=Martin |first1=Léo |title=G7s commercial banks prop up the global coal industry |publisher=Reclaim Finance |date=13 June 2024 |url=https://reclaimfinance.org/site/en/2024/06/13/g7s-commercial-banks-prop-up-the-global-coal-industry/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{martin2024g7s, author = {Martin, Léo}, title = {{G7s commercial banks prop up the global coal industry}}, publisher = {Reclaim Finance}, year = {2024}, month = jun, url = {https://reclaimfinance.org/site/en/2024/06/13/g7s-commercial-banks-prop-up-the-global-coal-industry/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }