Search
Banks and financial services sector see 70% jump in greenwashing incidents globally
October 12, 2023
A new report reveals a troubling surge in misleading environmental claims within the banking and financial sectors. According to a study by RepRisk, a company specializing in environmental, social, and governance data, there has been a staggering 70% increase in climate-related greenwashing incidents in the past year. Greenwashing refers to companies making deceptive sustainability statements to investors or consumers, often aiming to enhance their image and profits.
The report highlights that over 50% of these incidents involved references to fossil fuels, connecting financial institutions to oil and gas companies. This concerning trend has not gone unnoticed by regulators. Authorities are becoming increasingly aware of the widespread nature of this problem. Notably, these misleading practices are no longer limited to simple deception. The report emphasizes that greenwashing has grown more complex, now involving vague promises, certifications, and commitments.
The banking and financial industry stands as the second most affected sector after oil and gas. The lack of accountability in this issue allows companies to gain from setting future goals without addressing the core problems. The report emphasizes the urgent need for stricter regulations and greater transparency to curb these misleading practices and protect investors and consumers from false claims.
Important Links:
- Certificate Program in Banking, Financial Services & Insurance: https://ask.careers/courses/certificate-program-in-banking-financial-services-insurance/
- Certificate in Banking and Financial Services: https://ask.careers/courses/certificate-in-banking-and-financial-services/
- 4-IN-1 Professional Diploma in Banking, Financial Services & Insurance (PDBFSI): https://ask.careers/courses/4-in-1-professional-diploma-in-banking-financial-services-insurance-pdbfsi/
- Ahmedabad: https://ask.careers/cities/ahmedabad/
- Mumbai: https://ask.careers/cities/mumbai/
- Indore: https://ask.careers/cities/indore/
- TSCFM: https://ask.careers/institutes/tscfm/
