Post G20 Priorities for Indian Sustainable Finance Roadmap: A Discussion on Instruments, Frameworks, and Capacities
India Initiative on Climate Risk and Sustainable Finance
The India Initiative on Climate Risk and Sustainable Finance was inaugurated on August 8, 2023, in Mumbai, anchored by Climate Bonds with its partners ODI and auctusESG. It is envisioned to be a deeply collaborative endeavour with the purpose of supporting the efforts of the Reserve Bank of India, financial policy makers and other financial sector regulators to build a system where financial institutions and business entities systematically work to develop robust transition plans, financiers and borrowers of capital actively engage, and credible opportunities and pipelines are scaled up to invest in green and resilient transition. The Initiative will pursue these objectives through a four-fold integrated approach which is,
• Contributing to the policy and regulatory efforts on climate risks management and Disclosure.
• Building the capacities of financial sector entities to navigate the transition credibly.
• Supporting the creation of a large and credible transition finance market.
• Accelerating cross border financial flows through platforms like the G20 and upcoming CoPs.
As part of the 1st objective “Contributing to the policy and regulatory efforts on climate risks management and Disclosure”, we are currently engaged in the creation of a collection of research papers, which will subsequently constitute an integral part of our comprehensive final report. The draft papers completed are listed below. · The study titled ‘Physical climate risk assessment and disclosure - Options for Reserve Bank of India’, presents a framework that proposes different methods for regulators to conduct physical risk assessments. These methods take into account varying data granularity, reporting capacities, and specific hazards of interest, based on methodologies and interviews with representatives from six central banks.
Some of our upcoming draft papers like - ‘Basel Principles for Integration of Climate-Related Financial Risks’, 'Transition Risk- Related Climate Scenario Analysis and Stress Testing Methodologies', and many more, are in the pipeline. Keep an eye out for their release in 2024.
India State of the Market 2021
The India sustainable debt market continued to grow in 2021 with issuance of green, social, and sustainability (GSS) debt totaling USD7.5bn, a six-fold (+585%) increase compared to 2020 figures. These and other findings are brought by the India Sustainable Debt Market State of the Market 2021 report, launched today by the Climate Bonds Initiative. The Report was produced with the support of the FCDO/UK Government, and in collaboration with the Climate Policy Initiative, Fichtner India, Green Tree Global, NABCONS, Nishith Desai Associates and SustainMantra. Download you copy NOW!
