On Tuesday 6 July, the European Commission (EC) published its new Sustainable Finance Strategy and a proposal for an EU Green Bond Standard. Today the EC also adopted the Delegated Act on the information to be disclosed by financial and non-financial firms, on how sustainable their activities are, based on Article 8 of the EU Taxonomy.
As part of the Sustainable Finance Strategy, the EC outlined six key actions:
- Extend existing sustainable finance toolbox to facilitate access to transition finance
- Improve inclusiveness of small and medium-sized enterprises (SMEs), and consumers, by giving them the right tools and incentives to access transition finance
- Enhance resilience of the economic and financial system to sustainability risks
- Increase contribution of the financial sector to sustainability
- Ensure integrity of EU financial system and monitor its orderly transition to sustainability
- Develop international sustainable finance initiatives and standards, and support EU partner countries
ISLA is currently reviewing the strategy to understand elements that may be applicable to the securities lending industry, a review of which will be provided in the next ISLA ESG Steering Group meeting in July. For more information on ISLA Working Groups click here.
View the Sustainable Finance Strategy and proposal for an EU Green Bond Standard here.