Citi's commitment to net zero by 2050
11:22 | 13/03/2021 Print Article
Citi believes that global financial institutions have the opportunity – and the responsibility – to play a leading role in helping drive the transition to a net-zero global economy and make good on the promise of the Paris Agreement.
From 2014 to 2019, the bank financed and facilitated $164 billion in low-carbon solutions and last year committed to completing an additional $250 billion in environmental transactions by 2025. Citi also reached its goal of purchasing 100 per cent renewable electricity for its facilities.
|Jane Fraser, Citi CEO |
“Now we are taking the next bold step on this journey. We are committing to net-zero greenhouse gas emissions by 2050. I am proud to make this commitment on my first day as CEO of Citi,” said Jane Fraser, Citi CEO. “Net zero means rethinking our business and helping our clients rethink theirs. For banks, what some don't realise is that net zero includes not just our own operations but also our core business impacts – in other words, our financing.”
Net zero refers to the balance between the amount of greenhouse gas produced and the amount removed from the atmosphere. Citi will publish its initial Net Zero by 2050 plan within the next year. The plan will include emissions reduction targets for carbon-intensive sectors that also have low-carbon transition opportunities, including interim emissions targets for 2030 for its energy and power portfolios.
After an initial implementation period, the bank will review the scope of its net zero plan to assess which additional sectors to include and how best to incorporate additional areas of its business in a way that achieves meaningful emissions reductions in the real economy as part of a just transition.
For its own operations, Citi is targeting net zero greenhouse gas emissions by 2030. As the world's most global bank, Citi is interconnected with many carbon-intensive sectors that continue to help drive global economic development. Citi Vietnam has recently been committed to net zero by facilitating some low-carbon projects and not financing some carbon-intensive projects.
“We are committed to bringing as many clients as we can along with us on this journey and working with them relentlessly to get it right. We also know that staying on this path and accomplishing this goal will require help from our full set of stakeholders – our clients, colleagues, investors, NGO partners, communities, and especially policy-makers, as durable climate policy is essential for enabling a net zero economy where we can all thrive,” said Fraser.