United Nations Environment Programme (UN Environment)
Climate Impact & Sustainability Data (2018)
Reporting Period: 2018
Environmental Metrics
ESG Focus Areas
- Sustainable Finance
Climate Goals & Targets
Environmental Challenges
- Market failures
- Information asymmetries
- Lack of awareness of sustainable finance
- Lack of consideration of non-financial or longer-term value
- Opportunity costs
- Limited sustainable investment pipeline
- Lack of a clear definition of sustainable finance
- Low level of sustainable finance capabilities
- Lack of non-financial sustainability data
- Sub-optimal alignment between incentives for providers of finance and sustainability objectives
- Lack of long-term capital
- Limited access to finance for MSMEs
- Attractiveness of risk-free government securities
- Market barriers (FX volatility, land tenure)
- High cost of doing business
Mitigation Strategies
- Developing sustainable finance definitions and taxonomies
- Improving non-financial disclosure
- Building the sustainable investment pipeline
- Developing more effective and efficient policy and regulations for sustainable finance
- Increased focus on identifying market opportunities, building internal capacity and developing new products in the banking sector
- Developing the domestic green bond market
- Harnessing the potential of digital innovation
- Broad awareness raising
Supply Chain Management
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
- Natural disasters
- Water crises
Opportunities
- Renewable energy
- Energy efficiency
- Climate change adaptation and mitigation
UN Sustainable Development Goals
- All 17 SDGs
The roadmap aims to align financial flows with the SDGs.