Global financial services company Citi has joined the ranks of Wall Street banks setting ambitious sustainable finance goals, with a new $1 trillion by 2030 commitment.
The sustainable finance commitments come as banks anticipate substantial increases in spending over the coming years by companies and governments on climate and energy transition-related investments, as well as expenditures towards other sustainable development areas, and as investors and financiers look to have a more meaningful impact from the funds they deploy.
Citi’s new sustainable finance target includes a goal to deploy $500 billion to environmental finance by 2030, extending its current commitment of $250 billion by 2025. Key areas identified by the bank’s environmental finance efforts include a wide array of climate solutions, such as renewable energy and clean technology, water conservation and sustainable transportation, and accelerating the transition to a sustainable, low-carbon economy that balances the environmental, social and economic needs of society.
The bank is also targeting other Sustainable Development Goals (SDGs) outside of environmental finance, earmarking $500 million for areas including education, affordable housing, health care, economic inclusion, community finance, international development finance, racial and ethnic diversity and gender equality.
In a post announcing the new sustainable finance initiative, Citi’s Head of Global Public Affairs, Ed Skyler said:
“Given our global footprint and our role in supporting economic activity around the world, Citi has a role to play in achieving the SDGs — and in this moment as we look towards emerging and rebuilding from the COVID-19 pandemic, it’s more crucial than ever that we address these priorities together.”