The Deutsche Bank has announced it would stop funding new coal projects and mining in respect of the Paris Agreement which over 400 private and public organisations signed.

The bank said in a statement on its website that in addition to stopping new investments in coal power, it would also gradually reduce its existing financial exposure to the thermal coal mining sector.

Its decision, it said was part of its revised approach to coal financing. This also comes as a huge win for parties to the Paris Agreement on climate change.

“The bank has revised its approach to coal financing and amended its guidelines governing coal power and mining. Deutsche Bank and its subsidiaries will not grant new financing for greenfield thermal coal mining and new coal-fired power plant construction. Moreover, the bank will gradually reduce its existing exposure to the thermal coal mining sector,” it said in the statement.

It added that: “By signing the Paris Pledge for Action alongside over 400 private and public organizations, the bank has welcomed the universal climate agreement made at the 2015 Climate Summit in Paris. This emphasizes the bank’s commitment to protect the climate and to contribute to the overall targets set by the Paris Agreement to limit global warming to 2 degrees above pre-industrial levels.”

Recently, the Deutsche Bank joined the Power for All campaign to accelerate energy access for 1.2 billion people living without electricity across the world using distributed renewable energy sources.