British bank HSBC announced today that it will stop financing new oil and gas projects as part of its energy strategy to achieve carbon neutrality by 2050.
The financial institution specifies in a statement that it will no longer provide “new loans or capital market financing for specific purposes for projects linked to new oil and gas fields or associated infrastructure.
The financial group also recalls that the International Energy Agency (IEA) has recommended that for an orderly energy transition, investment and financing of existing oil and gas fields should be maintained at 2020 levels.
“We will therefore continue to provide financing to keep oil and gas supply in line with changing global demand, while accelerating activities to support clean energy deployment,” it adds.
In the statement, HSBC also said it will continue to offer financial or advisory services to corporate energy clients whose plans are aligned with the bank’s 2030 and 2050 climate goals.