One bank analyst said: “How can a bank so entangled with the Chinese industrial complex even begin to think it will go green? China is the worst polluter and has no pressure from democratic politics to go green. This looks like greenwashing for ESG funds only.”
Quinn said that the bank would monitor its financing structures across the Group as well as consult their clients on how they can change their practises to reduce emission.
However he refused to say whether the bank would turn business away.
“What we have given the market is an ambition that our total financing by 2050 will be net zero, that is a far bigger prize or goal than picking a sub-segment of our portfolio and saying ‘I am not going to bank you’ because that’s not what the world needs.
“That industry or that customer may then just go to Bank X, Bank Y or Bank Z. They won’t have changed their business model.”
The bank also vowed to set up a separate arm, called HSBC Pollination Climate Asset Management, that will look to invest in in clean technology and renewable energy resources.
Other banks to pledge to hit net zero targets by 2050 include JP Morgan, Natwest and BNP Paribas.
