Mar 22Recalibrating responsible financeIndicators used to measure progress in addressing challenges such as climate change and nature loss can be counter-productive if the metrics themselves become the focus. …Climate Change5 min readClimate Change5 min read
Mar 10Do Islamic banking customers hold the keys for sustainability in Islamic finance?A survey of retail banking customers of Islamic banks shows wide-scale enthusiasm for sustainability and a belief that Islamic finance aligns well with the SDGs. However, the challenges posed by ESG risks and concerns about greenwashing make it increasingly urgent that Islamic banks maintain customer confidence. …Islamic Finance5 min readIslamic Finance5 min read
Mar 3Malaysia’s updated sustainable & responsible funds regulation tackles common concerns in ESGThe connection between funds’ names and their sustainability strategies continues to be a hot-button issue for regulators tackling greenwashing. One of the most challenging elements is that of measurement when comparing a fund’s activities with either its own strategy or a common reference point. …Malaysia5 min readMalaysia5 min read
Feb 21Credible transition plans are in short supply, and that’s a problem for Net Zero financial institutionsFinancial institutions’ credibility on Net Zero is largely outside of their direct control because of the importance of their customers’ own transition plans. …Climate Change5 min readClimate Change5 min read
Feb 9Incomplete transition plans bury wider climate risks to financial institutionsGaps in high-emitting and hard-to-abate companies’ transition plans make it harder for financial institutions and investors to understand how the broader value chain may be impacted by the success or failure of a few key transition plans. This risk is accentuated if there is tunnel vision focused on high-emitting sectors…Transition Plan5 min readTransition Plan5 min read
Feb 1ECB sustainable finance & climate indicators shine a light on financed emissions data quality challengesThe ECB’s new sustainable finance & climate data indicators highlight some of the most pressing data quality and methodology issues in producing the information needed to guide climate change mitigation. …Ecb5 min readEcb5 min read
Jan 17Finding a ‘win-win-win’ outcome for decarbonization and economic growth from stronger climate policiesThere is a win–win-win potential for policies to strengthen climate mitigation efforts in emerging and developing countries. New research provides evidence that stronger climate policy can induce more financing from foreign banks seeking green investment without reducing other financing channels. …Responsible Finance4 min readResponsible Finance4 min read
Jan 9Six Steps to Becoming a Sustainable FinTechBy Sylvia Kezengwa, RFI Foundation Global Virtual Innovation Hub Coordinator FinTechs, like other financial sector institutions, have to consider and respond to environmental, social and governance issues. Although this will reduce their susceptibility to ESG-related losses, it can also provide something for FinTechs to capitalize on. …Fintech6 min readFintech6 min read
Jan 5Sustainable finance has an ‘information governance’ problemThe building blocks behind the ‘information governance’ of sustainable finance appear to be an extension of a similar process undertaken to organize financial information to support more efficient capital allocation. …Sustainable Finance5 min readSustainable Finance5 min read
Dec 22, 2022Climate change and biodiversity are inextricably linked and will drive financial flows for decades to comeThe Kunming-Montreal Agreement on biodiversity expands the expectations on financial institutions’ responsibilities towards the natural world. Islamic market financial sector stakeholders should take a cue from the Paris Agreement and build their capabilities to show what they are doing with regard to biodiversity. …Climate Change5 min readClimate Change5 min read
