We’ve recorded $97.5 billion in environmental finance activity, nearly achieving our $100 billion goal in just three years due to the unprecedented growth of environmental finance markets, such as renewable energy and green bonds, and the ambitions of our clients.
At Citi, with our more than 200-year history of tackling big challenges, we can’t think of a more important challenge than the sustainable and resilient growth of our cities and communities. To foster this, we’ll need financial capital; cross-sector collaboration; and strong, long-term commitments from players in both the public and private sectors.
Our 200-year history has also taught us that every challenge presents an opportunity. And we can’t think of a more compelling example than the burgeoning market for innovative tools, financial and technical, urgently needed to address the gap between what we can do today and what we’ll need to do tomorrow. But we also recognize that this work needs to be approached in an equitable way that appropriately manages and shares the inevitable risks among a wider pool of potential players.
Two years ago, Citi launched our Sustainable Progress Strategy, which featured our flagship initiative, Citi’s $100 Billion Environmental Finance Goal to lend, invest and facilitate $100 billion to activities that reduce climate change impacts and create innovative environmental solutions. We’ve recorded $97.5 billion in environmental finance activity, nearly achieving our $100 billion goal in just three years due to the unprecedented growth of environmental finance markets, such as renewable energy and green bonds, and the ambitions of our clients. Although we are on track to achieve our goal in 2017, we plan to continue to challenge ourselves by redefining what completion means with a new, more rigorous methodology moving forward.
A number of the deals that counted toward the $100 billion goal stand out as groundbreaking for their respective markets and represent new approaches to drive future growth in those markets:
- Providing construction and tax equity financing for Deepwater Wind’s Block Island Wind Farm, the first offshore wind farm in the United States;
- Underwriting a $400 million green bond for Sound Transit to help expand light rail service in the Seattle metropolitan region; and
- Providing a combination of loans and bond underwriting for Detroit to upgrade its streetlight system with LED lighting.
Citi’s $100 Billion Environmental Finance Goal is about more than transactions, however. It is ultimately about impact. Some of these impacts include avoiding more than 7.6 million tons of greenhouse gas emissions, supporting more than 31,000 clean energy jobs and providing green affordable housing for nearly 8,000 families.
Along with hundreds of other companies, we are committed to acting to address climate change, which we view as both a business risk and a business opportunity. To that end, we support policies and actions that promote clean energy development and help to bring the economic benefits that come with it to the communities where we live and work. Our company, our communities, our society and the broader economy will undoubtedly benefit from the hundreds of thousands of new and fulfilling jobs and careers that producing low-carbon infrastructure and technology will create in the United States and around the world.