Singapore-based United Overseas Bank (UOB) has announced that it will cease any financial support for ASEAN oil and gas (O&G) projects after 2022. The agency intends to reduce lending for six carbon-heavy sectors, making up to 60 per cent of its lending portfolio, by 2050. These include the power, automobile, real estate, construction, and steel industries, in addition to the O&G industry.

For power industries across the SEA countries, UOB is aiming at reducing emissions by 61 per cent by 2030, and 98 per cent by 2050, compared to the 2021 baseline. Additionally, for the automobile sector, the bank aims at reducing emission intensity by 58 per cent with net zero targeted by 2050.

UOB has already ceased financing for coal-fired power plants as well as coal mines. By 3029, the bank is aiming to close all of its existing loans for the coal industry.