Global Call to Major U.S. Banks
Today, 105 civil society organizations from around the world have urged U.S. financial institutions to cease funding industrial livestock production. This appeal, directed at prominent banks such as Bank of America, Citigroup, and JPMorgan Chase, underscores the significant role these entities play in worsening the climate crisis through their investment in meat, dairy, and feed companies.
The letter emphasizes the dire environmental consequences of industrial livestock production. According to the signatories, this sector’s emissions are a major driver of global warming and biodiversity loss, alongside causing severe damage to animal welfare and human rights.
Highlighting the scale of the problem, the letter states that livestock production could consume nearly half of the world’s 1.5˚C emissions budget by 2030, and 80% by 2050. The combined emissions from the top 56 meat, dairy, and feed corporations exceed those of Japan, the world’s eighth largest emitter.
Monique Mikhail from Friends of the Earth U.S. asserts, “Industrial livestock production is one of the most destructive activities for our planet. By continuing to finance these corporations, banks are complicit in driving climate change and environmental degradation.”
Financial Sector’s Role in Climate Crisis
Research reveals the extensive involvement of the financial sector in this issue. A study by Profundo and Feedback Global found that global banks have provided over $615 billion in credit to major meat, dairy, and feed corporations since the Paris Agreement.
U.S. giants Bank of America, Citigroup, and JPMorgan Chase have been significant financiers. Another study by Profundo and Friends of the Earth U.S. indicated that lending from these banks to these corporations, though only a small percentage of their portfolios, results in a disproportionate share of their greenhouse gas emissions.
Key findings include:
- Meat and dairy corporations’ actual emissions may be up to four times higher than self-reported figures.
- Underreporting and exclusion of Scope 3 emissions contribute to this discrepancy.
- Methane emissions, with 80 times the warming potential of carbon dioxide, are a major concern.
Bank of America’s underwriting of JBS alone accounted for a substantial portion of its facilitated methane emissions from meat and dairy corporations, highlighting the banks’ significant impact on climate change.
Demand for Change and Accountability
The letter calls on banks to recognize industrial livestock production as a high-emitting sector and to set specific targets and action plans to mitigate its impact. Key demands include halting new financing, requiring clients to disclose and adhere to verified climate targets, and addressing broader social and environmental harms caused by the industry.
Ola Janus from BankTrack criticizes the outdated view of industrial livestock as a viable investment, stating, “In our reality of limited resources, it’s shocking that any respectable financial institution still views this industry as valuable.”
Activists argue that banks can significantly impact the climate crisis by redirecting a small portion of their capital away from high-emitting livestock corporations. This shift would not only reduce their carbon footprint but also demonstrate a genuine commitment to combating climate change.
Martin Bowman from Feedback Global emphasizes the urgency of the situation, warning that funding for these polluting companies is increasing despite scientists’ warnings that global livestock emissions must sharply decline.
Global Campaign for Accountability
This letter is part of a broader campaign to hold major banks accountable for their funding of industrial livestock corporations. The campaign includes direct outreach to bank executives, social media efforts, grassroots mobilization, and paid advertising.
Activists will focus on amplifying the letter’s messages through direct outreach to bank officials and social media on specific dates: JP Morgan on September 17, Bank of America on September 18, and Citigroup on September 19, 2024.
Stephanie Dowlen from Rainforest Action Network warns that major banks must stop financing industrial beef production, which drives deforestation and land grabbing in the Amazon, pushing this critical ecosystem to an irreversible tipping point.
The campaign aims to highlight the role of these financial institutions in exacerbating the climate crisis and to push for a shift in their funding practices towards more sustainable and ethical investments.
harmony
Excellent article! How can we support the campaign against these banks?
milo
LOL, maybe the banks just want better BBQ options for their board meetings! 😂
haley
Are there any banks that are already committed to not funding these corporations?
Avery4
This is a great read, but the spelling errors are distracting. Please proofread next time.
boots
Industrial agriculture is a huge problem. What alternatives do we have?
Naomi0
I’m glad to see banks finally taking responsibility. Thanks for sharing this important info!
AbigailRadiance
So, does this mean we’ll see a rise in plant-based investments? 🌱
Taylor
Wow, this is really shocking! Why haven’t we heard about this sooner?