OMFIF Sustainable Policy Institute

Andrés Alonso-Robisco, senior economist, financial innovation, and Jose Manuel Marques, director of financial innovation and market infrastructures at Banco de España, explored how technology can be used to scale up 🌱 green finance for our Q3 SPI Journal. Read their discussion here: https://lnkd.in/egPiyD_Z Read the journal, which focuses on leveraging data, technology and #AI for a sustainable future here: https://lnkd.in/e4VYm9e4

The UK must reset its relationship with data to unlock sustainable economic growth and open up digital markets, write Stuart Coleman, director, consultancy and learning, Open Data Institute, and Elena Simperl, professor of computer science, King's College London and director of research, ODI for our SPI Q3 journal: https://lnkd.in/eFsfnVrC Read the journal, which focuses on leveraging data, technology and #AI for a sustainable future here: https://lnkd.in/e4VYm9e4

Technology is set to revolutionise our approach to climate challenges: 🖥️Bridging data gaps 📈Enhancing risk modelling 🌱Boosting market confidence in sustainable initiatives Want to learn more? Watch our expert panel discussion on-demand, where we explore: ✅ Latest trends in climate tech ✅ Data's role in green finance ✅ Innovation as a catalyst for sustainability https://lnkd.in/dQge-6PA This discussion complements OMFIF's Sustainable Policy Institute Journal, Q3 2024 edition: https://lnkd.in/e4VYm9e4

Overwhelming focus on tech distracts from other opportunities for sustainable investment writes Trevor Allen, head of sustainability research at BNP Paribas for our SPI Q3 journal: https://lnkd.in/e6nDks8r Read the journal, which focuses on leveraging data, technology and #AI for a sustainable future here: https://lnkd.in/e4VYm9e4

Technology can be deployed to overcome hurdles in timely data collection and analysis, write Helen Krause, CFA, managing director, head of global data insights, and Emmanuel Levy, product management, climate data science at Citi for our SPI Q3 journal: https://lnkd.in/dWWv8i6U Read the journal, which focuses on leveraging data, technology and #AI for a sustainable future here: https://lnkd.in/e4VYm9e4

🌍 Did you know that gender equality could add $12tn to global gross domestic product by 2025! Join OMFIF and Clara Raposo, Vice-Governor of Banco de Portugal, on 4 September to discuss the case for #genderequality and #financialinclusion. https://lnkd.in/ePqHVWha

🌍 When one thinks of climate risk, banking and finance aren’t an obvious frontline, but global banks are indeed very exposed. A drought in one country, a regulatory change in another or a large stake in a highly polluting industry can all impact operations and profitability. But how do banks consider these risks? The main models Include: 1️⃣ Scenario Expansion: Physical Risk: Predict how physical aspects of climate change (e.g, extreme weather) might impact assets and operations. Transitional Risk Models: Analyse risks associated with transitioning to a low-carbon economy, such as regulatory or market demand changes. 2️⃣ Credit-Impact-Assessment Models: Evaluate how climate challenges could affect the creditworthiness of borrowers or investments. 3️⃣ Hazard Models: Focus on specific climate hazards, like floods or heatwaves, and their potential impact on assets or operations. Attending #OMFIF’s “Leveraging data, Technology and Innovation for Sustainable Finance” panel last week was a great insight into the debates around this topic. 🌳 With sustainable finance and climate risk increasingly at the fore, the race is on in Financial Services to adapt and predict these risks. ⚡ #AI is projected to play a critical role in contributing to accurate risk modelling through scenario analysis, the aggregation and evaluation of diverse data sources for better understanding of different risks, and even carbon price prediction, among other uses. 🤖 Though, regulators must adapt too. Policy uncertainty is a pertinent barrier for banks when planning for the future. Without clear, pre-announced plans for carbon taxation and other climate policies, financial institutions will face challenges in implementing technological innovation and forecasting. The panel emphasised the need for greater government-private sector collaboration through market mechanisms too; green bonds and sustainability (target) linked bonds to finance climate initiatives. Working together, regulators have real opportunity to influence the climate fight through strategic and unified policy frameworks. 🎯 🔎 https://lnkd.in/egesGHQh 🔎 https://lnkd.in/eZCdfwuJ OMFIF Sustainable Policy Institute #FinancialPolicy #SustainableFinance #Banking

Investors have an unavoidable opportunity to help society withstand the impacts of a warming planet, writes Umar Ashfaq, research director, MSCI Sustainability Institute for OMFIF's summer SPI journal: https://lnkd.in/epda4qG6 Read the journal here: https://lnkd.in/e4VYm9e4

💻#Technology is projected to play a critical role in scaling #climate action. Its role in helping to overcome challenges in data gaps and risk modelling is key to ensure market and investor confidence in sustainable products and projects. In accordance with the publication of OMFIF’s Sustainable Policy Institute Journal, Q3 2024 edition, we hosted a panel discussion to explore the latest trends in climate related-technology as well as how data and innovation can be a transformative force in catalysing green finance. 🌱 Watch on demand here: https://lnkd.in/dQge-6PA

The spectre of climate change looms large over the global financial system. Extreme weather events and the inevitable transition to a low-carbon economy pose unprecedented financial risks to banks and other financial institutions. Recognising this danger, central banks and financial authorities globally are striving to integrate climate risk into their supervisory frameworks. However, this task is riddled with challenges, ranging from nascent methodologies to fragmented and incomplete data. Addressing some of these key challenges is Project Viridis, an initiative developed by the Bank for International Settlements – BIS Innovation Hub Singapore Centre in collaboration with the Monetary Authority of Singapore (MAS), write Sivasubramanian Ramanathan, junior product owner, and Dr. Patrick Hoffmann, adviser, Bank for International Settlements – BIS; Kenneth Gay, executive director, enterprise knowledge, and Harry Lee, deputy director and head, data governance and transformation, Monetary Authority of Singapore (MAS): https://lnkd.in/eFH_SwJ6