Japan's Sumitomo Mitsui Banking Corporation (SMBC) is the world’s third-biggest lender to coal plant developers and continues to finance coal plants that undermine global climate goals.
Despite its massive funding of coal projects, SMBC applied for accreditation to receive money from the United Nations' Green Climate Fund. This fund is mandated by the UN climate convention to support developing countries in addressing climate change impacts.
We demand that the Green Climate Fund Board, deny accreditation to institutions that have funded coal projects in Indonesia, Vietnam, Bangladesh and other parts of Asia.
Help us tell the Green Climate Fund Board that coal funders cannot be legitimate partners in implementing climate projects in developing countries. There is no justification for the Green Climate Fund to consider subsidizing a dirty company with public funds that are urgently needed for climate action.
Dear members of the Green Climate Fund Board,
I am writing to you to express my opposition to the accreditation of Sumitomo Mitsui Banking Corporation (SMBC) given its history of financing coal projects in developing countries.
The SMBC is the world’s third-biggest lender to coal plant developers and continues to finance coal plants that undermine global climate goals. Between 2017 and 2019, they provided US$8 billion in loans to coal plant developers.
SMBC’s track record and its continued involvement in highly controversial coal plants directly contradict its commitment to contributing to the Paris Agreement. They do not meet your standards of environmental and social governance. Consideration of its accreditation application puts the reputation of the Global Climate Fund on the line and makes a mockery of the mandated objectives of the Fund. There is no justification for the GCF Board to consider giving a dirty company access to public funds that are urgently needed for urgent climate action.
SMBC should prove its commitment to align its business strategy with the Paris Agreement by withdrawing from the above-mentioned projects immediately and making a total exit from all coal projects. It should also declare that it will not fund any coal project, not even so-called clean coal.
Sincerely,