Jamie Dimon, the chief executive officer of JP Morgan Chase, stated unequivocally that his firm will continue to finance the extraction of fossil fuels.
In a Wednesday exchange with Michigan Democrat and Squad member Rashida Tlaib, Dimon stated, “Absolutely not, and that would be the path to hell for America.”
Tlaib questioned banking executives as to whether or not they have a policy “against supporting new oil and gas products” as part of their collective commitment to achieve net zero emissions by 2050.
Tlaib recommended consumers to terminate their accounts with the banking giant in response to Dimon’s emphatic denial.
She stated, in reference to President Joe Biden’s intention to forgive up to $20,000 in student loan debt, “Sir, you know what, everyone who received student loan relief and had a bank account with your bank should definitely close their accounts.”
“The idea that you’re not even there to help many of the people who are in debt, extreme debt as a result of student load debt, and you’re condemning it is ridiculous.”
The representative then returned to her previous line of inquiry, stating that Dimon ‘clearly doesn’t care about working class folks in frontline communities like ours who are facing high rates of asthma and respiratory difficulties and so much more’
Dimon later stated that the United States had the incorrect story on greenhouse gas emissions. He urged that the nation must spend more in the industry for long-term pollution reduction and economic prosperity.
Dimon stated, “We aren’t getting this one right.” ‘Investing in the oil and gas firm is beneficial for lowering greenhouse gas emissions.
Stopping fresh sales of oil and gas, according to Jamie Dimon, CEO of JP Morgan Chase, would be “the road to hell for America.”
Rep. Rashida Tlaib of Michigan asked the CEO of the nation’s top banks whether or not they have a policy against supporting new oil and gas products.
Wednesday, bank executives appeared before Congress and expressed pessimism about the U.S. economy. Dimon (third from left) stated that JPMorgan Chase will ‘absolutely not’ divest from fossil fuels, whereas others provided measured replies regarding assisting clients with the shift to renewable energy industries.
Tlaib rushed immediately to the other executives to inquire about their investment decisions.
Citigroup’s chief executive officer, Jane Fraser, stated, “We will continue to invest in and support clients who are investing in fossil fuels and help them transition to cleaner energies.”
Brian Moynihan, the chief executive officer of Bank of America, concurred with Fraser and stated that the institution is assisting clients in adopting a greener route.
Moynihan stated, “We are assisting our clients in their transformation by lending to both oil and gas firms and new energy companies and monitoring their progress towards the standards you mention.”
Dimon noted that the definitions of environmental, social, and governance issues, as well as their ratings, must be clarified. ESG is determined by a company’s investment in these three categories.
Wednesday, the CEOs of the nation’s top banks convened before Congress and provided a pessimistic assessment of the U.S. economy, reflecting the financial and economic suffering of many Americans.
Some executives did not affirm or deny that they will continue to invest in fossil fuels while assisting clients in adopting a “greener” approach.
Citigroup’s chief executive officer, Jane Fraser, stated, “We will continue to invest in and support clients who are investing in fossil fuels and assist them in transitioning to cleaner energies.”
The CEO of Bank of America, Brian Moynihan (right), agreed with Fraser’s strategy.
Dimon, Faser, and other bank executives also cautioned that although the U.S. consumer is in good shape, he or she faces dangers from high inflation and rising interest rates.
The hearing was held on the same day that the Federal Reserve announced it will increase its benchmark interest rate by three-quarters of a percentage point in an effort to curb inflation.
When pressed by legislators, the bank CEOs appeared increasingly pessimistic that the Federal Reserve can achieve its goal of a “soft landing,” in which inflation is brought back down without causing widespread economic damage.
Dimon said, “I’m keeping my fingers crossed.”
In prepared statements for the hearing, Fraser stated, “While COVID is behind us, the economic challenges we face today are no less daunting.”
Despite the pessimistic outlook, the CEOs stated that the U.S. consumer is currently in good financial condition as a result of the pandemic-related savings.
According to Brian Moynihan, the amount of money in customer accounts has remained steady. Dimon stated that earnings are increasing while debt loads are decreasing, and Fraser stated that consumer spending is on the rise.
Thursday will mark the return of the CEOs to the Senate Banking Committee.