GFANZ facts for kids

The Glasgow Financial Alliance for Net Zero (GFANZ) is a group that formed during the COP26 climate conference in Glasgow, and describes itself as "a global coalition of leading financial institutions committed to accelerating the decarbonization of the economy."

Michael Bloomberg, UN Special Envoy on Climate Ambition and Solutions, and Mark Carney, UN Special Envoy for Climate Action and Finance, are Co-Chairs of the group, while Mary Schapiro is the Vice Chair and Head of the Secretariat.

The group aims to support the goal of the Paris Agreement to limit global temperature increases to 1.5 °C and "provides the tools and resources the financial sector needs to implement its net-zero commitments." The group comprises over 160 companies with more than $70 trillion of assets. Companies that join the alliance must be accredited by the UN Race to Zero campaign and must also "use science-based guidelines to reach net zero emissions, cover all emission scopes, include 2030 interim target setting, and commit to transparent reporting and accounting in line with the UN Race to Zero criteria."

The Alliance also comprises existing and new net zero finance initiatives like the Net Zero Asset Managers Initiative, the UN-convened Net-Zero Asset Owner Alliance and the Net-Zero Banking Alliance.