Bank of America to deploy $1 trillion for green finance

Duke Energy Renewables

Bank of America is planning to deploy $1 trillion for its environmental business initiative to push for green finance by 2030.

Bank of America earlier announced in 2019 that it will spend $300 billion for the same project, Reuters reported.

The second largest U.S. bank said the latest announcement puts its total commitment to sustainable finance by 2030 at $1.5 trillion.

The initiative will help the bank’s push for a greener economy through lending, capital raising, advisory and investment services to help low-carbon and other sustainable businesses, Bank of America said.

In February, Bank of America said it would target net-zero greenhouse gas emissions before 2050.

The announcement was in line with steps taken by other top-tier financial institutions to improve their performance on environmental, social and governance (ESG) issues. Interest in these issues has surged as investors assess how economies should look in the future.

Last month, Mastercard said it would link bonuses for its senior executives to their performance in helping the company achieve its goals of cutting its carbon usage, improve financial inclusion and gender pay parity.

Citigroup has also launched a new investment banking unit to support efforts towards environmental sustainability.