The Net-Zero Banking Alliance (NZBA) was a left-of-center, United Nations (UN)-convened coalition of banks that asked members to align lending and capital markets activities with “net-zero” greenhouse-gas emissions by 2050 and to set interim, sector-specific targets. The group was led by the United Nations Environment Programme (UNEP), which functions primarily as a standard-setting and disclosure framework. At one point the alliance consisted of many of the world’s leading banks; however, the alliance paused all activity in mid-2025 after the six largest banks in the world economy withdrew from the group, citing anti-trust concerns and existing internal sustainability commitments. ^{1 2 3}

In October 2025, the organization ceased all operations. ⁴

Background and Activities

The Net-Zero Banking Alliance launched on April 21, 2021 by the United Nations Environment Program Finance Initiative. The group was founded as a broader part of the UN Race to Zero and the COP26 finance architecture. NZBA began with 43 founding banks and rapidly expanded across more than 40 countries. Founding stewardship was closely associated with then-UN climate-finance envoy Mark Carney’s broader push to organize finance alliances. A sister organization, the Net Zero Asset Managers initiative, was also set up by the UNEP. It paused activities in 2025 after BlackRock, the world’s largest asset manager, withdrew. ³

NZBA was formed as a counterpart to the Glasgow Financial Alliance for Net Zero (GFANZ), chaired by Mark Carney, then the U.K. Prime Minister’s Finance Advisor for COP26 UN Special Envoy on Climate Action and Finance. The UN touted that 160 banks and financial institutions, which controlled a combined $70 trillion in assets, were a part of the GFANZ and that three banks from 23 countries (with assets of US$28.5 trillion) formed the Net-Zero Banking Alliance. The Net-Zero Banking Alliance was convened by the United Nations Environment Programme Finance Initiative and co-launched by the Prince of Wales’ Sustainable Markets Initiative Financial Services Taskforce (FSTF). ⁵

The alliance required all members to commit to “to align operational and attributable emissions from their portfolios with pathways to net-zero by 2050 or sooner,” which mandated “science-based guidelines to reach net zero emissions, cover all emission scopes, include 2030 interim target setting, and commit to transparent reporting and accounting in line with the UN Race to Zero criteria.” ⁵

Suspension of Activities

On August 27, 2025, the Wall Street Journal reported that Net-Zero Banking Alliance suspended activities and initiated a member vote on whether to continue as a membership alliance or pivot to a looser framework-only initiative, with results expected by late September. The article attributed the pause to a wave of bank departures amid pressure from the Trump administration and Republican state officials, including an antitrust lawsuit against financial institutions over similar joint climate agreements initiated by Texas Attorney General Ken Paxton (R). American banks, including JPMorgan Chase, Citi, and Morgan Stanley, exited the alliance shortly after Donald Trump’s 2024 presidential election victory, and were later followed by European banks HSBC, Barclays, and UBS. ³

Many banks cited continued internal sustainability goals when leaving the alliance, including JP Morgan which stated, “We will continue to work independently to advance the interests of our Firm, our shareholders and our clients and remain focused on pragmatic solutions to help further low-carbon technologies while advancing energy security.” Wells Fargo CEO Charles Scharf stated at the bank’s annual meeting: “We will maintain our 2030 sustainable finance goal, our 2030 operational sustainability goals, and our 2050 goal for Wells Fargo’s own operational emissions.” ^{3 2}

In October 2025, remaining members of NZBA voted to cease the organization’s operations. ⁴

1. Net-Zero Banking Alliance. UNEP Finance Initiative. Accessed September 30, 2025. https://www.unepfi.org/net-zero-banking/
2. “JPMorgan Becomes Latest U.S. Lender to Quit Net-Zero Banking Alliance.” Reuters, January 7, 2025. Accessed September 30, 2025. https://www.reuters.com/business/environment/jpmorgan-says-leave-net-zero-banking-alliance-2025-01-07/
3. Khan, Yusuf. “Net-Zero Banking Alliance Suspends Activities Amid Wave of Departures.” Wall Street Journal. Accessed September 30, 2025. https://www.wsj.com/articles/net-zero-banking-alliance-suspends-activities-amid-wave-of-departures-fc1beef1
4. Jessop, Simon, and Virginia Furness. “Net-Zero Banking Alliance Folds after Mass Exodus by Members.” Reuters, October 3, 2025. https://www.reuters.com/sustainability/cop/net-zero-banking-alliance-stop-operations-after-member-vote-2025-10-03/.
5. “Mark Carney, UN Race to Zero Campaign, COP26 Presidency Launch Net-Zero.” United Nations Environment Programme, press release. Accessed September 30, 2025. https://www.unep.org/news-and-stories/press-release/mark-carney-un-race-zero-campaign-cop26-presidency-launch-net-zero