Financial Institutions Blake Goud Financial Institutions Blake Goud

Is It Possible To Define Criteria For Net Zero Credibility For Financial Institutions?

  • SBTi’s document is the latest step in the process of creating a financial institution Net Zero (FINZ) standard to be released in 2024

  • The criteria outlined are ambitious in their coverage of financed and facilitated emissions, which are defined as “Category 15+”, referring to the GHG Protocol’s substantially narrower definition of financed emissions

  • It will remain challenging to develop a consistent framework for forward-looking Net Zero plans that incentivize investment in transition activities while avoiding easier but less meaningful ‘portfolio decarbonization’

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Climate Risk Blake Goud Climate Risk Blake Goud

New Guidance On Nature Targets Will Increase Finance For The ‘Blue Economy’

  • New guidance from the Science Based Targets Network provides companies with a framework for assessing their impact on nature and helps them set nature-related targets

  • Nature risk impacts half of all global economic activity, and the blue economy where the RFI Foundation’s Blue Finance Challenge is focused, has been particularly challenging for financial institutions

  • As financial institutions increase their focus on nature risk – including risks related to the ‘blue economy’ – they will rely on technology to provide tools to measure, manage and disclose risks as well as to improve their ability to offer innovative solutions like ‘blue finance’

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