The large global banks, the vast majority of them rated “global systemic“, that is, they are “too big to fail”, are protected by governments. The traditional business of banking was lending money to earn interest. Social and economic changes have modified this line, but large entities continue to finance activities that, in many cases, violate ethics and allegedly violate diplomatic agreements and conventions.
Diario16+ has published and analyzed how the giants of the global financial sector continue to allocate loans and subscriptions to, for example, the oil and coal sectors while boasting their commitment to decarbonization and environmental sustainability. Also how projects have been financed in Israel for the cConstruction of colonies in the State of Palestine that have been declared a violation of human rights.
The war of extermination Israel in the Gaza Strip and the genocide that is being perpetrated with the indiscriminate murder of non-combatants, especially children, has caused heads of state and presidents of government of the great democratic powers of Europe to call for the annulment of the Free Trade Agreement with Israel to close the tap on arms sales to the Hebrew country.
However, as the report reveals “The companies arming Israel and their financiers», the largest European financial institutions invest and finance large international corporations that sell weapons to Israel.
In total, the European banking giants have provided 36.1 billion euros in loans and guarantees, and have 26 billion euros in stocks and bonds of these arms corporations.
By selling weapons to Israel, these large companies in the military sector run the great risk of being complicit in the continued commission of serious violations of international humanitarian law, crimes against humanity and genocide in Gaza.
Between 2019 and 2023, six of the world’s largest arms producers (Boeing, General Dynamics, Leonardo, Lockheed Martin, RTX y Rolls-Royce) have sold all types of weapons to Israel.
According to the report, the French bank BNP Paribas is, by far, the largest financier of companies that have sold weapons to Israel: €5.7 billion in loans and subscriptions since 2021. Other large financial entities identified by the report are banks Credit Agricole, Deutsche Bank, HSBC, Barclays y UBS as well as the Norwegian government pension fund GFPG and the insurance company Allianz.
Arms sales contracts to Israel | Source: The companies arming Israel and their financiers
As international standards on business and human rights indicate, financial institutions are clearly responsibility to ensure that they do not invest in companies that contribute to human rights violations.
An investigation carried out by the Dutch organization PAX noted that the six arms companies identified in the report have also supplied weapons to countries involved in violations of human rights or international humanitarian law, including Israel.
Since the Hamas terrorist attack against Israel on October 7, 2023 and the subsequent offensive by Israel against the Gaza Stripinternational human rights organizations and UN officials have repeatedly denounced the serious violations of international humanitarian law being committed.
He Court of Appeals Dutch court warned of the risk of such violations as the basis for its ruling in February of this year by which Netherlands they should stop exporting parts F-35 fighter jets to Israel. Furthermore, on January 26, 2024, the International Court of Justice ordered Israel to take all measures within its power to prevent genocide in Gaza.
Financing companies that sell weapons to Israel | Source: The companies arming Israel and their financiers
The report, which is based on data from Bloomberg y Eikon refinitivealso mentions the two large Spanish banks. Santander Bank He financed these large arms companies that sell weapons to Israel with 1,759 million euros and has stakes worth 222 million in Boeing.
Specifically, according to the report, Santander financed Boeing with 887 million, a corporation that sold to Israel guided bombs of the IDAM type y GBU-39166 million to Leonardoa company that delivered to the Hebrew State AW119 helicopters and SuperRapid cannons, and 706 million to Rolls Roycewho sold engines to Israel for Eitan type tankettes and for the Merkava 4 tanks.
For its part, BBVA granted 1,052 million in loans and guarantees to these arms companies and has subscriptions of 214 million in Boeing and 112 million in General Dynamics.
The financing, according to the report, is distributed in 635 million to Boeing, 193 million to General Dynamics, a corporation that sold Gulfstream V modified as an Oron AGS/SIGINT spy plane to Israel, 166 million to Leonardo and 58 to Rolls Royce.
