In January 2017, several major Canadian banks, including the Royal Bank of Canada (RBC) and the Toronto-Dominion Bank (TD), withdrew from the global climate coalition, the “Canadian Coalition for Green Finance,” just before Donald Trump’s inauguration as U.S. president. This move signaled concerns among these financial institutions about the future of climate-related regulations under the Trump administration, which had expressed skepticism about climate change and rolled back environmental policies. The decision also reflected uncertainty about the future of international climate agreements, such as the Paris Accord, and a shift in U.S. policy that could impact cross-border financial markets and investments in green technologies.
The departure of these banks from the coalition raised alarms within the Canadian environmental community, as these institutions had previously committed to supporting sustainable finance and climate initiatives. While the banks did not provide specific reasons for their withdrawal, analysts speculated that the change in U.S. leadership and the potential for a more deregulated business environment might have influenced their decisions. This move marked a turning point in global corporate commitment to climate action, as companies reassessed their strategies in light of shifting political landscapes, particularly in the U.S., which had been a key player in international climate discussions. More