As global discussions on climate action intensified during Climate Week NYC, 14 of the world’s leading banks and financial institutions officially endorsed an ambitious goal to triple nuclear energy capacity by 2050. The initiative, launched at COP28 in 2023, has garnered widespread support from the financial sector, which increasingly recognizes the pivotal role nuclear energy must play in achieving global decarbonization targets.
Among the financial institutions lending their support are Abu Dhabi Commercial Bank, Ares Management, Bank of America, Barclays, BNP Paribas, Brookfield, Citi, Credit Agricole CIB, Goldman Sachs, Guggenheim Securities LLC, Morgan Stanley, Rothschild & Co., Segra Capital Management, and Societe Generale.
This financial backing aims to accelerate the development and deployment of nuclear energy technologies, which are seen as essential for decarbonizing power grids and meeting the demands of a low-carbon global economy.
With opening remarks from John Podesta, Senior Advisor to the President for International Climate Policy, the gathering occurred at the iconic Rockefeller Center. It brought together heads of state, ministers, and top executives from the nuclear and finance sectors. Podesta set the tone by underlining the importance of collaboration: “Our mission is clear: to ensure nuclear energy plays its role in building a sustainable, secure future. If we work together, we can make nuclear a cornerstone of our climate strategy.”
Nuclear energy’s inclusion in the outcome of the first global stocktake under the Paris Agreement further underscored its importance. The stocktake, completed in December 2023, identified nuclear as one of the key low- and zero-emission technologies essential for accelerating decarbonization efforts.
Through their global reach and capital markets expertise, financial institutions are seen as instrumental in mobilizing the resources necessary to bring nuclear projects from the planning stage to operational reality. As nuclear energy gains momentum, it’s clear that unlocking its full potential will depend heavily on innovative financing and investment.
One of the main obstacles to nuclear energy expansion is financing. Dr. Robert Golob, Prime Minister of Slovenia, emphasized this point, stating, “The remaining challenge is financial—markets must develop new instruments to make nuclear energy competitive with other carbon-free energy sources.”
Globally, countries are exploring financing mechanisms to support nuclear new builds. Ebba Busch, Sweden's Minister for Energy, Business, and Industry, shared Sweden’s approach: "Our government is considering options like government-backed loans and Contracts-for-Difference (CfDs) to create favorable conditions for nuclear expansion, ensuring a more sustainable energy future."
Involving the private sector, particularly financial institutions, is crucial to overcoming these hurdles. This partnership between governments, nuclear developers, and capital markets can unlock the necessary investments for large-scale nuclear deployment.
The demand for reliable, clean energy continues to grow, particularly in sectors like data centers and artificial intelligence (AI), where electricity consumption is skyrocketing. James Schaefer, Senior Managing Director at Guggenheim Securities, emphasized this trend: "We’re seeing an enormous demand for clean electrons to power data centers and AI technologies. Nuclear energy is clean, proven, and safe—and it’s essential that we accelerate the shift from planned projects to operational plants.”
Mohamed Al Hammadi, CEO of Emirates Nuclear Energy Corporation, further highlighted the importance of nuclear for both energy security and net-zero goals: “Since COP28, we’ve witnessed a major shift in momentum across the nuclear sector. The support of 14 major financial institutions sends a strong market signal that nuclear energy is not only essential for decarbonization but is also a bankable, viable path forward for sustainable finance.”
The Declaration to Triple Nuclear Energy by 2050, endorsed by 25 nations at COP28, represents a bold, collective vision to expand nuclear capacity worldwide significantly. The countries endorsing this declaration include the United States, Canada, France, Japan, South Korea, the United Kingdom, Sweden, and Ukraine.
Nuclear energy is seen as a vital piece of the puzzle as the world seeks to limit global warming to 1.5°C. By providing a steady supply of zero-carbon electricity, nuclear can complement renewable energy sources like wind and solar, ensuring a stable and reliable energy mix.
Benjamin M. Pickett, Vice President of Public Affairs & Government Relations at Nucor Corporation, highlighted the importance of nuclear energy for heavy industry: “Nuclear, alongside renewables, is crucial for meeting global carbon reduction targets. For manufacturers like Nucor, access to clean, reliable power is essential for growth and prosperity."
While nuclear energy has faced challenges over the years, including high costs and political resistance, the endorsement by major financial institutions represents a turning point. Mobilizing capital and driving investment into nuclear projects, banks, and financial markets can help rejuvenate the industry and make nuclear energy competitive in the clean energy race.
The announcement comes as Wall Street is increasingly aligning itself with sustainability goals.
