ECIIA: EBA Report 2024: How to Identify and Prevent Greenwashing in Banking and Investments

19 June 2024

The European Banking Authority (EBA) has recently published a new report “Greenwashing Monitoring and Supervision,” which addresses the increasing risks of greenwashing in banking and investments firms.

Key Points:

• The report notes a concerning 26% surge in greenwashing allegations in 2023 compared to 2022, emphasising the need for genuine ESG (Environmental, Social, Governance) practices.
• The EBA provides comprehensive guidance on analysing and mitigating greenwashing risks, equipping banks and investment firms with actionable steps to strengthen their ESG frameworks.
• Greenwashing can appear in any aspect of a company’s operations, and internal auditors play a crucial role in identifying and minimising these risks.

Recommendations:

• Chapter 5 of the report offers valuable insights, outlining actionable strategies to combat greenwashing. It is a must-read for organisations committed to upholding robust ESG practices.

For a deeper understanding and further recommendations, read the full report here. 

 

ECIIA

© ECIIA