Publish Year : 2018
Author/s : European Commission
Publication (journal name/website etc.): http://europa.eu
Publisher / Publishing company: European Commission
Accessed on : 2018-04-07
Availability: For Free
This Action Plan on sustainable finance is part of broader efforts to connect finance with the specific needs of the European and global economy for the benefit of the planet and our society. Specifically, building upon the Final Report of the Highl Level Expert Group (HLEG) on Sustainable Finance, this Action Plan aims to:
- reorient capital flows towards sustainable investment in order to achieve sustainable and inclusive growth;
- manage financial risks stemming from climate change, resource depletion, environmental degradation and social issues; and
- foster transparency and long-termism in financial and economic activity.
In light of these objective, the action plan results in five key actions covering all actors in the financial system:
- To establish a common language for sustainable finance, i.e. an EU sustainability taxonomy.
- To create standards and labels for green financial products.
- To clarifyinstitutional investors and asset managers' duties
- To incorporate sustainability in prudential requirements.
- To strengthen sustainability disclosure and to improve accounting rule-making. discourage sustainable and long-term investments.