On 22 July 2025, the Science Based Targets initiative (SBTi) launched its first-ever Net-Zero Standard for Financial Institutions (FINZ). This new framework provides banks, insurers, asset managers, and other financial firms with science-based guidance to set net-zero targets across their lending, investment, underwriting, and capital market activities.

The FINZ Standard builds on previous near-term criteria and now includes both near- and long-term portfolio targets, making it more flexible and relevant across asset classes. So far, nearly 135 financial institutions worldwide have committed to align with the standard. Beyond compliance, the framework is designed to drive real-world decarbonization, manage climate-related financial risks, and strengthen institutional resilience. It also includes detailed guidance on managing fossil fuel financing, deforestation risks, and aligning capital market operations with climate goals.