Four major United States banks have left the Equator Principles, an environmental and social standards group credited with improving project finance policies, particularly in emerging markets.
JPMorgan Chase, Citi, Wells Fargo, and Bank of America recently delisted from the Equator Principles — a set of global standards that ensure projects they finance are developed in a socially responsible way with sound environmental management — after changes to the organization’s governance structure and signatory rules.
The voluntary move raises questions not only about the future of the group as a global standard, but about whether U.S. banks will continue to uphold the policies from outside. It also comes as many U.S. financial institutions face political pressure from Republicans around their environmental, social, and governance financing.
About the author
Adva Saldinger@AdvaSal
Adva Saldinger is a Senior Reporter at Devex where she covers development finance, as well as U.S. foreign aid policy. Adva explores the role the private sector and private capital play in development and authors the weekly Devex Invested newsletter bringing the latest news on the role of business and finance in addressing global challenges. A journalist with more than 10 years of experience, she has worked at several newspapers in the U.S. and lived in both Ghana and South Africa.
