Westpac Releases Nature Action Plan

The bank's new nature position replaces its earlier natural capital statement and sets deforestation requirements for agribusiness customers.

Updated on Nov. 2, 2026 in Financial Services

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Westpac has released a new Nature Position supported by a Nature Action Plan, which supersedes its Natural Capital Position Statement and is the first such plan among Australia's big banks. The move comes as the bank also increased lending to oil and gas extraction companies for the first time in four years.

Why it matters

The plan sets concrete expectations for borrowers on deforestation, while the rise in fossil fuel lending highlights tension between the bank's environmental commitments and its financing choices. Its approach may influence how other Australian lenders assess nature-related risk.

Westpac assessed more than 2000 agribusiness customers on deforestation risk, and just under half had a 'comprehensive' approach. Customers with more than A$3 million in lending exposure must align with the bank's deforestation mitigation hierarchy, though the figures do not show how many customers fall into that group.

The players

Westpac

Westpac is one of Australia's four major banks, headquartered in Sydney, and is the entity releasing the nature plan and financing the oil and gas projects discussed.

Santos

Santos is an Australian oil and gas producer that is among the companies Westpac has been financing as they develop the Browse and Beetaloo Basin projects.

Woodside

Woodside Energy is an Australian oil and gas company and one of the producers Westpac has been financing for development of the Browse and Beetaloo Basin projects.

The details

Westpac's plan requires agribusiness customers with more than A$3 million in lending exposure to align with a mitigation hierarchy that prioritises avoiding deforestation, followed by reducing impacts. Alongside this, the bank has been financing Santos and Woodside as they develop the Browse and Beetaloo Basin projects.

1 November 2026: Westpac informed stakeholders of the new Nature Position and Action Plan.

Market Landscape

Westpac's Nature Action Plan is the first of its kind among Australia's big banks, positioning it ahead of its major domestic rivals on formal nature policy. The plan supersedes the bank's earlier Natural Capital Position Statement and extends it with concrete deforestation requirements for agribusiness borrowers.

Agribusiness borrowers with more than A$3 million in lending exposure will need to align with Westpac's deforestation mitigation hierarchy. Customers with smaller exposures are not covered by that requirement based on the information provided.

The takeaway

Banks' environmental commitments are increasingly tested by the financing decisions they make alongside them. Borrowers and observers should watch whether the new deforestation requirements are applied consistently across the bank's lending book.