Sustainable finance is finance raised for the purpose of sustainable projects.
Sustainable finance includes a strong green finance component that aims to support economic growth while:
- Reducing pressures on the environment
- Addressing green-house gas emissions and tackling pollution
- Minimising waste and improving efficiency in the use of natural resources
Sustainable finance also encompasses increasing awareness of and transparency about:
- The risks which may have an impact on the sustainability of the financial system
- The need for financial and corporate market participants to mitigate those risks through appropriate governance
Sustainable finance pricing
- "The concept of climate risk is becoming central to financial equations, and sustainable (including green) finance is gaining ground and increasingly priced above, or on a par with, mainstream investments."
- The Treasurer magazine, August 2018, p24.
- Climate risk
- Environmental profit and loss
- ESG investment
- G20 Sustainable Finance Working Group
- Global Sustainable Finance Council
- Global Sustainable Investment Alliance
- Green finance
- International Platform on Sustainable Finance
- Sustainability bond
- Sustainability linked loan
- Sustainable Finance Disclosure Regulation (SFDR)
- Sustainable investment
- Ten Point Plan for a Green Industrial Revolution