MAS and non-profit firm CDP ink MOU to promote access to quality ESG data

THE Monetary Authority of Singapore (MAS) and CDP - a UK-headquartered non-profit organisation behind a global environmental-disclosure system for companies and sub-national governments - have signed a memorandum of understanding (MOU) to promote sustainability disclosures and access to quality environmental, social and governance (ESG) data across the financial sector and real economy.

In a joint statement on Friday (Mar 18), both organisations said they will collaborate to explore the exchange of information between CDP's disclosure system and MAS' Project Greenprint to enhance financial institutions' access to ESG data, as well as to implement capacity-building programmes for corporates and financial institutions on climate disclosures.

Project Greenprint is a programme under the MAS Green Finance Action Plan that aims to enhance access to high-quality, consistent and reliable ESG data to support sustainable finance.

CDP, formerly known as the Carbon Disclosure Project, has one of the world's most comprehensive collections of self-reported data from companies globally, which enables investors, companies and cities to measure and manage their environmental impact.

This also has "significant synergies" with MAS' Project Greenprint, both organisations noted.

The partnership between MAS and CDP aims to support financial institutions in their sustainable finance and investment decisions by providing access to transparent, trusted and efficient ESG data.

Darian McBain, chief sustainability officer at MAS, said: "The signing of this MOU underscores MAS and CDP's commitment to leverage technology to drive the sustainability agenda. Harnessing technology to facilitate trusted and efficient ESG data flows is a key component of MAS' Green Finance Action Plan.

"In particular, technology solutions present remarkable potential to improve the availability, quality and comparability of ESG data and disclosures. I hope this collaboration between MAS and CDP will empower corporates in their sustainability journeys and to align their ESG disclosures with international best practices."

Paul Simpson, chief executive of CDP, added: "This partnership represents a major contribution by MAS in driving the growth of sustainable finance both domestically and globally.

"Building on the Singapore Exchange's recent adoption of the recommendations of the Taskforce on Climate-related Financial Disclosures (TCFD) among its listing requirements and the introduction of Project Greenprint, stakeholders will have access to credible ESG insights and data that can be used to accelerate the flow of sustainable financing across sectors and borders."