Three large European banks gave in to pressure from climate activists, and pledged to stop providing trade financing for oil exports coming from the Ecuadorian Amazon.
“These commitments showcase a growing concern from global financial institutions about the reputational risk that comes with financing the trade” of such oil, says Moira Birss, climate and finance director for Amazon Watch, one of the two activist groups – along with Stand.earth – that called out Credit Suisse Group AG, ING Groep NV and BNP Paribas SA for double standards.
Together, those three banks account for $5.5 billion of such financing in the last 11 years. Financial institutions around the world have promoted corporate sustainability while financing oil companies that contribute to climate change. Today, those same institutions face criticism from environmentalists and shareholders who demand a limitation regarding financing hydrocarbons and fossil fuels in environmentally sensitive areas.