Alliance Abandoned: World’s Biggest Banks Leave Climate Group in Tatters

The Net Zero Banking Alliance (NZBA) has been left in tatters, abandoned by the very institutions that were meant to be its champions. The world’s biggest banks have led a mass exodus from the global climate group, forcing its immediate and unceremonious shutdown.
The abandonment was triggered by a calculated response to political risk. The re-election of Donald Trump on a pro-fossil fuel platform created a hostile environment in the US for corporate climate initiatives. Fearing they would be targeted by an “anti-woke” backlash, the six largest American banks chose to abandon the alliance.
This initial act of desertion by financial giants like JPMorgan Chase, Bank of America, and Goldman Sachs was a devastating betrayal of the alliance’s mission. It signaled to the rest of the world that when push came to shove, domestic political concerns would take precedence over global climate cooperation.
The betrayal had a cascading effect. With its most powerful members gone, the alliance lost its credibility and purpose. Other international banks, including European heavyweights HSBC and Barclays, saw no reason to remain in the abandoned organization and followed suit.
The tattered remains of the NZBA now serve as a stark warning. While some lament the lack of loyalty and courage from the banking sector, critics argue it was naive to ever expect unwavering commitment from a voluntary, non-binding group. They insist that the only way to secure the industry’s participation is to abandon the idea of alliances and instead build a fortress of robust government regulation.