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Guidance for Climate Target Setting for Banks – Version 3


April 2025

Photo Source: Unsplash


The Guidance for Climate Target Setting for Banks outlines key principles to underpin the setting of credible, robust, impactful and ambitious targets for achieving net-zero greenhouse gas emissions goals in alignment with the Paris Agreement. NZBA members are encouraged to use this guidance which has been developed to support members and establish good practice.


Banks are recommended to follow these four overarching principles:

  1. To individually and independently set and publicly disclose long-term and intermediate targets to support meeting a net-zero GHG emissions goal and towards alignment with the Paris Agreement.

  2. To establish an emissions baseline and annually measure and report the emissions profile of their lending, investment, and capital markets activities.

  3. To use widely accepted science-based decarbonization scenarios to set both long-term and intermediate targets that are aligned with a net-zero goal and the goals of the Paris Agreement.

  4. To regularly review targets to ensure consistency with current climate science


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