It has been announced that the number of signatories to the Poseidon Principles will soon number 23, which will equate to approximately 50% of all debt extended to shipping.  This is a very positive step forward in the drive to promote the greening of shipping and meet the IMO's "Initial GHG Strategy" calls for reducing greenhouse gas emissions attributable to the maritime sector by at least 50% by 2050 as compared to 2008.

The Poseidon Principles Association published its first Annual Disclosure Report in December 2020, disclosing the "climate alignment score" of 15 banks' ship finance portfolios.  The Report showed that 3 banks' ship finance portfolios were aligned with UN decarbonisation targets, whilst 12 banks' portfolios were not.  The Report also included commentary from the participating banks on key takeaways from their climate assessment, and reflections on how it will inform their business activities and decision-making in the future.

The hope is that, over time, more and more market participants will become signatories to the Poseidon Principles.  In particular, there is encouragement for more Asian financiers to sign up given that they are a major source of ship finance.

In January 2021 Sumitomo Mitsui Finance and Leasing became the first specialist leasing company, and only the second Japanese ship financier, to join the Poseidon Principles.

A copy of the Annual Disclosure Report 2020 can be found here: https://www.poseidonprinciples.org/wp-content/uploads/2020/12/Poseidon-Principles-Annual-Disclosure-Report-2020.pdf