Trillions of dollars of bank finance to fossil fuel companies is being routed via opaque financial centers in several countries, including the Netherlands, research published on Wednesday showed.
The study examined 60 global banks’ $6.9-trillion of syndicated financing of fossil fuel companies, such as coal miners or shipping firms between 2016 to 2023, including loans, credit lines and bonds. The Netherlands has introduced reforms to try to shed its image as a conduit for money flows to countries with very low taxation rates.
The syndicated finance highlighted in the study represents a small fraction of overall bank credit to the fossil fuel industry but the study’s authors said it shows how the full extent of finance for fossil fuels is being hidden.