A group of fourteen of the world’s largest banks have pledged to boost their lending for nuclear energy projects as part of commitments agreed at the COP28 climate summit.
Barclays, Goldman Sachs, Morgan Stanley (NYSE:MS) and Citi are among the signatories of the pledge to increase direct lending and project to the sector.
Uranium prices have recovered to levels not seen for years as governments have rebooted nuclear plans due to the pressure to reduce fossil fuel dependence.
Last week, the nuclear industry called on the banks to up their lending to the sector to help achieve the 2050 targets for the sector.
In Paris, last at the ‘Roadmaps to New Nuclear’ conference organized by the OECD Nuclear Energy Agency on September 19-20, representatives of the US, Canada, UK, France, Japan and South Korea said ensuring access to national and international climate finance mechanisms will be crucial.
Giving investors clarity on the funding for nuclear projects will also be crucial, they said.
Tom Greatrex, Chief Executive of the Nuclear Industry Association said: “It is vital that nuclear, as a key source of zero-carbon power, is placed on an equal footing with renewables by financial institutions so that we can ramp up capacity to drive down fossil fuels and strengthen energy security.
“Countries all over the world are seeking to accelerate nuclear projects, with over 20 nations signing a declaration to triple nuclear at COP28, a goal only possible with the support of both the private sector and development banks.”