Kyoto Protocol

Birth of the financial mechanisms for reducing carbon emissions

1995

Carbon Disclosure Project

A pioneering organisation to promote transparency and measure the environmental footprint of corporations and states.

2000

United Nations Principles for Responsible Investment (UNPRI)

An association set up by the UN to encourage the financial sector to incorporate ESG criteria into its practices.

2006

Montreal Carbon Pledge

120 institutional investors agree for the very first time to measure their carbon footprint.

2014

Green Bond Principles (GBP)

Investment banks produce a list of best practice for green bonds. These guidelines are now updated each year by the ICMA.

2014

COP21 - Paris Agreement

The Paris Agreement to limit global warming to below 2°C calls for “finance flows to be aligned with climate objectives”.

2015

Sustainable Development Goals (SDGs)

With its 17 SDGs, the UN creates a framework for all political, economic and financial players.

2015

One Planet Summit

International summit bringing together heads of state and governments from over 50 countries, resulting in numerous commitments in support of the fight against climate change.

2017

Financial Centers For Sustainability

This international network of financial centres now has 26 members. [https://financefortomorrow.com/en/2019/06/06/the-fc4s-network-welcomes-3-new-members/]

2017

EU Action Plan on Financing Sustainable Growth

The European Commission adopts its action to support sustainable finance. [https://ec.europa.eu/info/publications/180308-action-plan-sustainable-growth_en]

2018

Climate Finance Day

The Fifth Annual Climate Finance Day will take stock of the latest commitments, achievements and innovations for promoting the transition to a sustainable and inclusive economy.

2019
Why sustainable finance?

Sustainable finance, or green finance, promotes financial transactions that incorporate non-financial criteria, such as environmental, social and governance issues.

INACTION IS MORE EXPENSIVE THAN ACTION

For companies and financial players, the economic, operational, legal and reputational risks of climate change are real.

This is reflected in the warning given by Sir Nicholas Stern back in 2006: “If we don't act, the overall costs and risks of climate change will be equivalent to losing at least 5% of global GDP each year, now and forever.”.

It is in everyone’s interest within the financial sector, whether private, public or institutional players, to prioritise funding practices that incorporate ESG (Environmental, Social and Governance) criteria.

FRANCE, AT THE FOREFRONT OF SUSTAINABLE FINANCE

The Paris Financial Center has become an unparalleled expert in socially responsible investment (SRI). A world leader in green finance, France participates in international initiatives and develops cutting-edge financial tools and regulatory measures.
Each year financiers come together for the Climate Finance Day 2019 organised by Finance for Tomorrow, to take stock of the sector's progress at international level, present innovative ideas and commit to developing sustainable finance.

DIVERTING CAPITAL FLOWS

Finance can accelerate the transition to an inclusive, low-carbon economy and one that is more resilient to climate risks; it needs to support responsible and innovative companies by investing in projects that benefit Nature and Humankind alike.

The investment needed for a successful ecological transition runs into the trillions. Although many are already committed, we are still a long way from achieving the goals of the Paris Agreement.

5 000

$ bn/year funding needed to meet the SDGs

90

trillion $ investment needed to achieve the ecological transition

300

$ bn/year needed to protect land- and sea-based ecosystems

n°1

France is Europe’s leading green bond issuer

“Sustainable finance is about the long-term. It is an innovative and digital style of finance, connected to the real economy. It is a finance conscious of its footprint.”

author-photo
Philppe Zaouati

Former Chair and Founder of Finance for Tomorrow, CEO of Mirova