China’s Bank of Communications ramps up green lending

Bank of Communications, one of China’s largest commercial banks, is increasing its financial support for the green and low-carbon transformation of traditional sectors and the expansion of green sectors, Xinhua reported on Sunday.

By the end of 2023, the lender’s outstanding loans for green development had reached 822.04 billion yuan (about 115.6 billion U.S. dollars), climbing by 29.37 percent compared with the end of 2022, data from the bank showed.

By the end of 2023, the bank’s outstanding loans for green development reached a significant 822 billion yuan (about $115.6 billion USD), reflecting a 29.37 per cent increase over 2022.

The Bank of Communications is also issuing loans specifically targeted at reducing carbon emissions, aligning with China’s national goals. It has a goal of reaching 1 trillion yuan ($144.5 billion USD) in green loans by 2025.

This move by Bank of Communications demonstrates China’s commitment to achieving its ambitious dual carbon goals of peaking carbon emissions before 2030 and reaching carbon neutrality by 2060.

In 2021, People’s Bank of China (PBOC) launched a facility in support of carbon emission reduction initiatives amid the country’s efforts to pursue green development.