Spanish Banks Fuel Climate Crisis with Increased Fossil Fuel Investment

• Major Spanish banks, including Banco Santander and BBVA, continue to increase financing for fossil fuel industries, contradicting global climate goals.
• The 'Banking on Climate Chaos 2026' report highlights that 65 global banks funneled $906 billion into fossil fuels in 2025, a 7.6% annual increase.

Spanish Banking Activity

• Banco Santander: Remains the leader in fossil fuel investment among Spanish banks, directing $16.829 billion in 2025 (a 6.2% increase). Investment in projects focused on expanding fossil fuel production rose by 28.5% to $9.2 billion. The bank has also relaxed climate targets, raising its temperature limit goal from 1.5°C to 1.7°C and removing scope 3 emissions from reduction targets.
• BBVA: Financed $10.8 billion in fossil fuel companies in 2025, representing a 23.1% increase from 2024. Financing for fossil fuel expansion grew by 25.7% to $6.5 billion, with no corresponding increase in sector-wide exclusions or safeguards.
• CaixaBank: Reduced its fossil fuel exposure by 35% to $1.3 billion. However, the report notes that this reduction lacks structural backing, as the bank recently loosened its policy on metallurgical coal, undermining its sustainable finance claims.

Global Context

• Since the Paris Agreement, the 65 largest global banks have funneled a total of $8.7 trillion into fossil fuels.
• Financing for fossil fuel expansion surged by 27% to $508 billion globally in 2025.
• Institutional backing for climate commitments has declined following the collapse of the Net-Zero Banking Alliance and shifted political pressures, particularly from the Trump administration.