Japan’s Mizuho joins APAC banks to cut off coal financing

The company is the country's third largest bank.

Mizuho Group Financial will stop financing new thermal coal mining projects, a Reuters report has advised.

Previously, the group said it would stop funding 'mountaintop removal', a technique that involves using explosives to expose coal seams. In an updated policy, Mizuho said it is halting financing any project for thermal coal mining.

According to the report, Mizuho will be the first major Japanese lender to make such a pledge, while other competitors such as  Mitsubishi UFJ Financial Group Inc. and Sumitomo Mitsui Financial Group Inc. have only ruled out mountaintop removal so far.

Mizuho is amongst other Asia Pacific banks who have pledged to stop financing coal due to mounting pressures from investors, environmentalists and lobbyists.