A new report from the Poseidon Principles reveals that the global shipping finance sector is making measurable progress toward climate alignment with the International Maritime Organization’s (IMO) net-zero targets. Despite increasingly stringent emissions-reduction pathways, ship financiers improved their alignment with the IMO’s minimum decarbonisation trajectory by nearly eight percentage points in 2025, underscoring the growing role of financial transparency in driving maritime decarbonisation.
Improved Transparency and Climate Performance
The Sixth Annual Disclosure Report, released in Copenhagen on 15 December 2025, shows that Poseidon Principles signatories disclosed 95% of their eligible shipping portfolios up from 93% in 2024 and one of the highest disclosure levels since reporting began. Today, 36 signatories across 14 countries represent nearly three-quarters of the global ship finance portfolio, making the framework a key benchmark for climate accountability in maritime finance.
Against the IMO’s “minimum trajectory,” portfolio misalignment improved from just over 19% last year to under 12% in 2025. Alignment against the more ambitious “striving trajectory” also strengthened, improving from 25% to just over 18% misaligned. Cargo and passenger vessel segments showed notable progress, driven by operational efficiency gains, retrofits, uptake of low-emission fuels, and the introduction of more efficient dual-fuel vessels.
Finance as a Catalyst for Decarbonisation
The report highlights how emissions data is increasingly shaping credit decisions and enabling innovative financing tools such as sustainability-linked loans. Financial institutions are becoming active partners in the shipping industry’s energy transition, supporting investments in cleaner vessels and emerging fuel pathways.
Reinforcing its global credibility, the Poseidon Principles methodology has been recognised by the Science Based Targets initiative (SBTi) as an acceptable framework for setting near- and long-term portfolio alignment targets under its Financial Institutions Net-Zero Standard.
Looking ahead, the initiative will expand its reach by introducing associate membership for private equity firms, hedge funds, and capital markets underwriters. This move aims to extend climate transparency beyond traditional ship lenders and strengthen emissions accountability across the entire maritime finance ecosystem.
The latest Poseidon Principles report confirms that financial transparency is delivering real progress in aligning shipping finance with global climate goals. While the sector remains short of full alignment with the IMO’s net-zero pathways, consistent year-on-year improvements despite tougher targets demonstrate meaningful momentum. With broader participation and deeper integration of climate metrics into financing decisions, the Poseidon Principles are set to play an even more critical role in accelerating shipping’s transition to a zero-emission future.
Did you subscribe to our daily Newsletter?
It’s Free Click here to Subscribe!
Source: GLOBAL MARITIME FORUM
