Achieving growth through sustainable finance

SUSTAINABLE finance involves a long-term integrated approach for using financial resources to optimise a company's social, environmental and financial mission. It is the provision of financial resources to inclusively promote economic growth and enhance ecology and human well-being in the long term. Sustainable finance is essential since it promotes responsible businesses, leading to a sustainable economy.

The growth of sustainable finance is driven by both companies and investors. Companies are increasingly seeking to enhance their performance and reputation from investments that improve energy efficiency, minimise material usage and reduce waste, eventually adding value for their shareholders. On the other hand, investors are shifting their attention towards environmental and social concerns, and finding it more attractive to own companies that champion sustainable finance.

Many investors understand that their financial returns can be affected by climate change, ecosystem collapse and biodiversity degradation. For example, extreme weather can affect the productivity of agricultural and forestry sectors.