The new code, titled The Climate Principles, is the first comprehensive industry framework for the sector's response to climate change and has been adopted by Crédit Agricole, HSBC, Munich Re, Standard Chartered and Swiss Re.

The Climate Group is an independent organisation that works internationally with government and business leaders to advance climate change solutions and accelerate a low carbon economy.

The Climate Principles will not only guide operational greenhouse gas (GHG) emission reduction commitments, but also provide strategic direction across the full range of financial products and services including research, asset management, retail banking, corporate banking, insurance and re-insurance, investment banking and project finance.

It is intended to align with, and build on, existing initiatives to ensure a consistent and effective sectoral approach to addressing climate change.

Steve Howard, CEO, The Climate Group said, "A rising tide lifts all boats, which is why we have decided to launch a global framework that will unify the response of a sector that is vital to accelerating action on climate change. The current global turmoil has reinforced the fact that global problems require global solutions. Early recognition of the risks and opportunities of climate change is essential to this sector's future success."

Francis Sullivan, from HSBC and Chair of The Climate Principles said, "Signatories will incorporate carbon and climate risk into their research activities and investment decisions, engage with clients to understand climate risks and opportunities and develop products and services that support them in managing those risks and exploiting those opportunities."

Says Naina Lal Kidwai, group general manager and CEO, HSBC India: "As a good corporate citizen and financial institution, we are committed to minimizing our own carbon footprint and following responsible lending practices. We will also partner with our clients on their journey towards a cleaner, greener environment."

The establishment of The Climate Principles enables financial institutions to demonstrate the importance they place on embedding climate change considerations into core business strategy and activity and to publicly disclose progress against key indicators.

All international financial institutions are invited to support and adopt The Climate Principles. The Climate Group and initial group of adopters look forward to expanding discussions with interested stakeholders and seeing additional financial institutions adopt the Principles.