Sustainable Banking Network – Research and Publications

Changing Course: UNEP FI and Twenty Institutional Investors Launch New Guidance to Implement TCFD Recommendations. Twenty institutional investors from eleven countries convened by the UN Environment Finance Initiative (UNEP FI)  launched comprehensive investor guidance to help assess how climate change and climate action could impact investor portfolios around the world. These assessments enable investors to be more transparent about their climate-related risks and opportunities in line with the recommendations from the Financial Stability Board’s Task Force on Climate-related Financial Disclosures.

A Call for Action: Climate Change as a Source of Financial Risk, the first comprehensive report of the Network for Greening the Financial System (NGFS), reflects a collective acknowledges that climate-related risks are a source of financial risk and some members found environmental risks are also a source of financial risk. NGFS members call for collective action and issue six recommendations. IFC/SBN is an observer of the NGFS, providing collective experience and insights in sustainable finance from emerging markets.

Physical Climate Risk: Investor Needs and Information Gaps draws attention to the fact that only a few financial institutions disclose how their portfolios are exposed to physical climate risks (even though risk is central to their decision-making process) and references the recent bankruptcy of California utility PG&E.

Values at Risk? Sustainability Risks and Goals in the Dutch Financial Sector explores the extent to which selected environmental and social challenges pose risks to financial institutions and takes stock of the processes that financial institutions have set up to lend direction to their sustainability policies.

Private Equity and Venture Capital's Role in Catalyzing Sustainable Investment focuses on key aspects of sustainable private equity (PE) and venture capital (VC) market development and deployment.

Raising $23 Trillion: Greening Banks and Capital Markets for Growth analyzes, based on IFC's analysis of $23 trillion in climate-smart investment opportunities in emerging markets from 2016 to 2030, the role of the banking sector and debt capital markets to provide the financing to keep global warming to 2 degrees Celsius or less.

Climate Change Challenges for Central Banks and Financial Regulators presents potential research and policy avenues for discussing the role of regulators in addressing climate-related financial risks.

China Green Credit Book by China Banking Association (CBA), first published in 2014, is updated with good international practices for sustainable finance and important training-of-trainers material for the CBA Program, which IFC supports.

Good Practice Note: Managing Contractors’ Environmental and Social Performance aims to help clients implement sound, consistent, and effective approaches, in compliance with IFC requirements, to manage the environmental and social performance of their contractors, subcontractors, and other third parties.

The World Bank Group and UN Environment Programme launched the Roadmap for a Sustainable Financial System report on November 13, 2017 in Bonn, Germany at the 23rd session of the Conference of the Parties (COP 23) to the UN Convention on Climate Change (UNFCCC).

New UNEP Inquiry report: ASEAN Green Finance Opportunities

New UNEP Inquiry report: China Green Finance Progress Report 

Economist Intelligence Unit – The Road to Action: Financial regulation addressing climate change, The Economist Intelligence Unit Limited 2017

Banking to get an E&S rule mandate, Vietnam Investment Review, March 27-April 2, 2017

Corporate Sustainability: First Evidence on Materiality by Mozaffar Khan, George Serafeim, and Aaron Yoon, Harvard

Sustainable Banking Network: An Innovative Knowledge Platform for Banking Regulators and Associations by Afifa Raihana, IFC Senior Environmental Specialist, South Asia, published in the GIZ Journal of Responsible Finance, December 2016

Sustaining Sustainability: What Institutional Investors Should Do Next by Jonathan Bailey, Bryce Klempner, and Josh Zoffer, McKinsey & Company

Green Finance: A Bottom-Up Approach to Track Existing Flows (IFC Consultative Draft) by Laura Bergedieck, Aditi Maheshwari and Francisco Avendano Ugaz, IFC, 2016

Earth Calling the Financial Sector by Jeffrey D. Sachs and Hendrik J. du Toit in “Project Syndicate”, February 16, 2015

Green lending – a new growth model for Asia and beyond by Giri Jadeja, Associate director, Financial Institutions Group Asia Pacific, IFC, in Nikkei Asian Review, January 26, 2015

Evaluating the Business Case for Environmental and Social Risk Management in Financial Institutions by IFC Financial Institutions Group ESRM team, Witold Henisz, Deloitte & Touche Professor of Management and Rachel Pacheco, Doctoral Candidate both at the Wharton School at the University of Pennsylvania, and Associate Professor Bennet Zelner at the Robert H. Smith School of Business at the University of Maryland, November 24, 2014