Mar 5, 2020 - Economy & Business

UBS adds new fossil fuel lending restrictions

The Swiss Bank USB's headquarters in Zurich
Photo: Peter Klaunzer/AFP via Getty Images

UBS said Thursday it will not finance new Arctic offshore oil projects, new coal mines or new oil sands projects.

The big picture: The Swiss banking giant is the latest in a string of banks to announce wider restrictions on fossil fuel finance as investor and activist pressure grows.

  • A number of major banks have tightened finance criteria in recent months and years. But climate activists say some of the policies, including JPMorgan Chase's new guidelines, have major gaps.

The bank said it would apply enhanced environmental guidelines for ultra-deepwater drilling and liquefied natural gas projects.

  • For LNG, that means "considering relevant factors such as management of methane leaks, and the company's past and present environmental and social performance."

Go deeper: Why big banks are breaking up with some fossil fuels

Go deeper