State of the Banking Transition 2026: from pledges to practice - panel discussion

Banks play a key role in the transition to a low-carbon economy. Through their product and service design, client engagement and financing structures, banks influence how the transition unfolds. However, banks remain at an early stage in enabling the transition to a low-carbon economy. Indeed, since peaking in 2022 and 2023, banks’ low-carbon ambition and sectoral target-setting have declined sharply. This is a key finding of the TPI Centre’s State of the Banking Transition 2026 report. At our webinar on 22 October, we presented key findings from our assessments of 36 of the world’s largest international banks and our report, which took stock of banks’ commitments, the maturity of their transition plans, and how they are integrating climate-related risks into their financial statements. Following the presentation, the panel brought together academic, investor and regulatory perspectives to discuss the report’s findings, investor and regulatory priorities and banks’ progress in addressing climate-related risks.