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Íslandsbanki commits to net zero emissions by 2040

Today, Íslandsbanki announces its commitment to achieving full carbon neutrality no later than 2040. The Bank’s own operations have been carbon neutral for the past two years, and with this decision, its commitment will also extend to “financed emissions” which includes the carbon footprint of Íslandsbanki’s entire loan and asset portfolio. At the same time, the Bank pledges to set science-based carbon reduction targets and has already begun preparing a detailed plan, with intermediate objectives in line with that framework and annual reporting on progress.

In autumn 2020, Íslandsbanki joined the Partnership for Carbon Accounting Financials (PCAF), an international initiative aimed at developing a standardised carbon accounting methodology. This standard is intended to enable financial institutions to measure and report the carbon emissions in their loan and asset portfolios. One of Íslandsbanki’s key sustainability objectives for 2021 is to complete its first assessment of financed emissions using available data, in accordance with the PCAF standard.

Íslandsbanki is committed to being a force for good in the Icelandic economy. This is reflected in great emphasis by Íslandsbanki’s growing sustainable financial solutions through which the Bank aims to support its customers in their efforts to have a positive impact. The Bank fully supports Iceland’s ambitious Climate Action Plan and the Government’s declared objective of achieving carbon neutrality by 2040. In order to reach this goal, it is vital that Icelandic businesses participate actively in measures that in many cases will demand large-scale investment. Íslandsbanki is determined to drive the transition to a carbon neutral society.

Birna Einarsdóttir
CEO of Íslandsbanki