US investment bank Morgan Stanley has announced plans to invest approximately $3 billion in carbon or emissions credits, projects and other initiatives related to greenhouse gas emissions reduction over the next five years.

The majority of this investment will come from increased purchases of carbon credits as the company expands its existing emissions platform. The remainder will come from investments in projects under the Clean Development Mechanism (CDM) and Joint Implementation (JI) initiatives.

Simon Greenshields, global head of power at the bank commented: “We strongly support the use of market-based solutions to meet environmental policies and objectives.”