HSBC Pours $54 Billion Into Green Deals--Right After Ditching Net-Zero Pact

HSBC HSBC is still piling into sustainable financeeven as it steps away from climate alliances. The bank just announced $54.1 billion in sustainable financing in the first half of 2025, up 19% from a year earlier. That brings its total to $447.7 billion since 2020, closing in on its 2030 goal of $750 billion to $1 trillion. The figure includes everything from green loans to underwriting and investment services. While HSBC didn't break down the numbers in detail, the rising momentum suggests demand for climate-focused capital isn't cooling off just yet.

But here's the twist: this comes just weeks after HSBC became the first major UK bank to exit the Net-Zero Banking Alliance. That move followed a wave of withdrawals by U.S. and Canadian lenders. The message? HSBC could be looking for more room to maneuverespecially around fossil fuel financing. Instead of sticking with the alliance's playbook, the bank is signaling it wants flexibility as it navigates a politically and economically sensitive energy landscape.

Still, the bank insists it hasn't walked away from climate goals. In its latest report, HSBC called the transition to net zero a key priority. But this dual-track approachaggressively ramping up sustainable finance while stepping back from public climate pledgescould mark a shift in how big banks approach ESG. For investors, HSBC may be a case to watch as the green finance narrative enters a more pragmatic phase.