2 in 3 banks have no commitments to stop financing deforestation
Global Canopy's Forest 500 report, published today (26 January), analyses the portfolio holdings and governance commitments of 150 banks and investors across the world to assess how they are contributing to forest loss.
Around two-thirds of these businesses do not have any public commitments around denying finance to firms accused of deforestation or attaching conditions to financial packages in this instance.
Global Canopy estimates that up to $2.7trn has been invested in activities that could be linked to deforestation, in high deforestation risk include palm oil, soy, beef, leather and timber. The top financiers of companies which, according to Global Canopy, are high forest risk, are Vanguard, BlackRock, State Street, Capital Group and Wells Fargo. Performance in terms of governance was generally worse in the US market, but the report found that many European organisations with deforestation policies are still financing high-risk companies, including Santander and Deutsche Bank.
F4B partners with Global Canopy on developing the Taskforce for Nature Related Disclosures