While global coal expansion appears to be slowing, the drop remains insufficient and is outweighed by new capacity in the pipeline. In fact, in 2024, China and India accounted for over two-thirds of all new thermal coal proposals – enough to offset global retirements and stall overall progress. The new Still Banking on Coal (SBoC) shows that major banks from across the world – including the US and Europe – continue to support the thermal coal sector, despite climate imperatives. (1) In total, 650 banks globally provided US$385 billion between 2022 and 2024, including US$130 billion in 2024 alone. Among leading financiers are CITIC, the Industrial and Commercial Bank of China (ICBC), Bank of America, JPMorgan Chase, and Deutsche Bank. Reclaim Finance calls on all banks to end support for coal power development and to urgently adopt credible transition plans aligned with a 1.5°C trajectory with low or no overshoot, involving the phaseout of existing coal plants and mines.
650 banks globally provided
to the coal sector between 2022 and 2024.
The thermal coal industry remains immense: 606 parent companies run over 2,300 GW of coal power with plans for at least 586 GW more, while 440 mining companies still extract nearly 8 billion tonnes annually worldwide. (2) Over 90% of planned coal power expansion is concentrated in Asia, mainly in China, India, and Indonesia. Backed by banks, these coal developments lock in emissions for decades, financing entrenchment rather than transition and, critically, drifting away from the needed phase out of existing coal plants and mines by 2030 for European and OECD countries, and by 2040 globally – deadlines that 1.5°C aligned climate scenarios make clear cannot be missed.
Between 2022 and 2024, banks from five regions collectively accounted for 92% of the total $385 billion commercial banks directed toward the coal industry.
Throughout this period of time, coal financing trends varied sharply across regions. European banks remained broadly stable at around US$20 billion, but with stark contrasts between banks – Deutsche Bank (+151%) and Barclays (+20%) expanded their exposure, while UBS cut back by 76%. Japanese banks showed a steady decline (–32% over the period), while US banks surged in 2023 before easing slightly in 2024, reaching a total of US$51 billion. Canadian banks reached around US$12 billion, peaking in 2023 before dropping back, whereas Chinese banks, at US$248 billion over the 2022-2024 period, stayed by far the largest coal financier, at a high but relatively stable level.
China and India: the epicenter of coal expansion
Chinese banks remain the backbone of global coal finance. While their lending in 2024 was slightly lower than in 2022, they still dominate worldwide. Unlike banks in North America, Europe, and Japan – which often finance coal companies with operations abroad – Chinese banks channel funds almost exclusively to coal companies at home, reinforcing China’s vast expansion pipeline.
Among the five largest Chinese coal-financing institutions, only ICBC cut back in 2024 compared to 2022. The other four increased their lending, with CITIC alone adding nearly US$5 billion since Glasgow. (3) This surge in finance directly supports coal companies, many of which are driving new expansion in China.
India, meanwhile, emerges as the world’s second-largest driver of coal expansion after China. Although Indian banks are not among the world’s top five coal financiers, they remain the main backers of India’s coal expansions at home.
Beyond the hotspots: tracing Asia’s coal build-up
While China and India remain the dominant coal players, Southeast Asia is emerging as a secondary hub. In Indonesia, where more than 13 GW of new coal capacity is still planned, domestic banks have stepped in to replace international financiers and are now the main drivers of expansion. They have almost tripled their coal financing since 2022, rising from US$1.4 billion to US$4 billion in 2024. Banks like Bank Mandiri (US$3.6 billion from 2022–2024) and Bank Negara Indonesia (US$1.7 billion) now rank among the world’s top 50 coal financiers. By contrast, in the rest of Southeast Asia, coal financing is collapsing: in Malaysia and Thailand, bank financing has fallen by more than half since 2022, and in the Philippines it has dropped by 96% since Glasgow.
26 COP’s and $385 billion later, European banks are still betting on coal
While coal financing is now heavily concentrated in Asia, European banks are still heavily involved in the sector, channeling nearly US$20 billion into coal between 2022 and 2024. Barclays (US$4 billion), Deutsche Bank (US$2 billion), BNP Paribas (US$1.5 billion), UBS (US$1.3 billion), and Santander (US$0.9 billion) rank among the top financiers.
This support is quite striking given that European banks were among the first globally to implement limitations in their policies and have more advanced standards in general. Yet, loopholes still let them back major coal developers. This is for instance the case for Glencore, as since 2024, nearly half of the banks supporting its US$8 billion bond issuances were European, including Deutsche Bank, ING, Santander, HSBC, and Barclays – even as Glencore is planning 17 new mining projects.
Globally, bank support for coal remains too high to enable its phaseout. Financing is dominated by Chinese and U.S. giants such as CITIC, ICBC, Bank of America, and JPMorgan Chase, whose weak policies drive massive flows of capital into coal. A wave of coal development in China, India, and across Asia is jeopardizing the chances of staying below 1.5°C, made possible by ongoing support from banks. Reclaim Finance urges all banks to end support to coal expansion and adopt financing practices that allow the phaseout of existing coal plants and mines by 2030 for European and OECD countries, and by 2040 globally.
