A panel led by the DEA secy to strengthen the sustainable finance roadmap
Amid growing global attention to the economic impact of environmental, social and governance (ESG) issues, the government has established a key task force under the leadership of Economic Secretary Ajay Seth to establish a concrete roadmap to strengthen India’s sustainable finance architecture.
The task force will confirm its recommendations to further strengthen the resilience of the country’s financial sector against risks emanating from various climate and ESG issues, a senior government official told FE. It will confirm the recommendations for developing sustainable finance in India and set a clear timetable for their implementation.
As part of this initiative, a survey is being conducted with the assistance of the United Nations Development Program (India) to assess climate and ESG resilience in the Indian financial sector. Bankers, who are among the key players in the financial system, also submitted their responses on this question.
According to the United Nations Development Program (UNDP) estimate before the pandemic, India needs around $ 2.6 trillion to meet the Sustainable Development Goals targets by 2030. Given that the government alone cannot generate or deploy such massive resources for this purpose, it requires collective efforts. public and private sectors.
In August 2020, the Economic Affairs Department launched the Sustainable Finance Collaborative in partnership with the UNDP.
It included dialogues on various related issues, including obstacles to the deployment of new and innovative modes of finance, such as impact investing, the role of blended finance instruments, green finance instruments for sustainable development and corporate sustainability disclosures.