Morgan Stanley to exit global climate coalition

Morgan Stanley announced it is leaving the Net-Zero Banking Alliance, Bloomberg reported. The investment banking company joined Citigroup, Bank of America, Goldman Sachs and Wells Fargo in exiting the group.

“Morgan Stanley has decided to withdraw from the Net-Zero Banking Alliance. Morgan Stanley’s commitment to net-zero remains unchanged. We aim to contribute to real-economy decarbonization by providing our clients with the advice and capital required to transform business models and reduce carbon intensity. We will continue to report on our progress as we work towards our 2030 interim financed emissions targets,” a Morgan Stanley spokesperson said in a statement.

The Net-Zero Banking Alliance, consisting of 144 banks, aims to align financial activities with net-zero emissions by 2050.

Executive Director Vanessa Fajans-Turner stated that these exits highlight the need for stronger state-level leadership and regulation regarding environmental commitments.

Despite the exits, Morgan Stanley confirmed its commitment to achieving net-zero financed emissions and will continue to report on its progress toward 2030 targets.