Climate risk resources & tools
There is a growing need for information, advice and guidance to support the finance sector in mobilising and mainstreaming ESG thinking and practice across various institutions.
The Business Case for Climate
Environmental categories of risk are becoming increasingly material. Global and local markets have been responding aggressively, with estimates climbing to over $30 trillion in assets that fall under “sustainable” investment strategies. There is increasing recognition that climate change is not only a massive environmental crisis but an emerging financial crisis as well.
Manage risk: ESG metrics can enable risk mitigation across multiple dimensions
The uneven nature of ESG data is commonly referred to in FSPs as a major challenge and it is becoming more pressing for the industry to find an effective way of collecting, verifying and sharing ESG data. For the ESG market to flourish, the industry must find a way of sharing accurate, meaningful data in real-time, with all parties in their respective economic communities.
Enhance performance: What is driving the overwhelming focus on ESG?
Financial and accounting systems influence decision-making, the assessment of corporate performance, and the value attributed to it. Therefore, financial and accounting systems play an important role in helping management and others evaluate a company’s ability to identify and manage ESG risks and create sustainable value over time.
Contribute to change: A new era for economies, finance and societal prosperity
“Transitioning South Africa to a cleaner economy will be both fiscally and economically expensive. It will also have a social cost. The country’s transition risk has been estimated at R2tn because of the significant exposure to a global low-carbon transition through exports, thermal coal and related infrastructure, power generation and synthetic fuel production”. Read more as to how South African financial institutions can help finance a sustainable economy.