Bank Taskforce Seek Climate Change Solutions

So, a trillion tons of ice breaking off from a glacier isn’t climate change, but even if it was, would it be enough to cause panic? Probably not. But do you know who is paying attention to climate change science? Banks.

As we all know, banks pride themselves on relying on cold hard facts rather than conjecture. So when they engage on climate change, you know it isn’t the latter. Earlier this week, 11 major banks announced that they want to seek solutions to the ever-growing issue. According to an article by Jess Shankleman at Bloomberg.com, Bank of England Governor Mark Carney has been making public calls to action to investors to increase financial reporting in regards to the environment.

Eleven banks rose to the occasion. The group, whose value exceeds more than $7 trillion, consists of big names such as Citigroup Inc. and UBS AG. It will be engaging in efforts to implement a set of recommendations created last month by an environmental taskforce coordinated by Carney.

According to the taskforce, many banks could be exposed to climate risks, especially by “providing loans to fossil fuel producers or food and agricultural companies.”  As part of the process, the banks will develop analytical tools to explore climate risks, and ultimately share their findings with other banks to encourage more environmentally sound practices.

In the meantime, it’s just refreshing to see an industry that usually separates itself from climate change seeking long-term solutions to the problem.