JP Morgan ESG head is advocating for a fresh approach to funding green technology

According to a senior banker at JP Morgan, start-up companies in the green technology industry are not receiving enough capital and require a new funding model.

Speaking at the Reuters Energy Transition Europe 2023 event in London, Chuka Umunna, head of EMEA ESG and green economy investment banking at JP Morgan, suggested that a funding model should be developed specifically for green tech companies.

Umunna noted that while sectors such as electric vehicles and low-carbon energy were receiving significant capital, other areas such as sustainable food ecosystems, which can also contribute to reducing greenhouse emissions, were not receiving the same level of investment.

He explained that this was due in part to the high capital requirements of some green tech firms in the early stages of development.

Despite concerns about geopolitical instability and a weak economy, deal activity in private markets for green technology companies is on the rise.

Learn more: Reuters