SFG took part in 3 events at the latest Building Bridges Week. Here are some of the key takeaways of this year’s participation of SFG in this ground-breaking event connecting finance with the SDGs:
Gender Equality in the Financial Industry: Quo Vadis?
- In 2022 the WEF estimated that it will take 132 years to achieve gender equality given current policies and practices, yet $28 trillion could be added annually to GDP by 2025 if women’s full economic potential was realized.
- The three main components of GLI are 1) getting women to meaningfully participate across the investment value chain, 2) supporting and investing in businesses that offer services or products that benefit women and girls, and 3) dismantling structural gender inequalities.
- There is a range of tools and support organizations that can help operationalize GLI. Equileap and Tameo have data about gender inclusion in business and impact funds. The EDGE Assessment and Certification can help businesses to take tangible steps to promote gender equality; a standard label is also being created by the 2X Collaborative. In addition, product-specific guidance is available like the IFC/UN Women guide on bonds.
Finance as a Driver of Peace
- Peace is often overlooked as an investment thematic because it is hard to measure. This is why it is fundamental to develop measurable indicators. InterPeace has begun work to standardize what peace impact means.
- The starting point for Peace finance is “doing no harm.” It may not be possible for every business or financial product to have a positive peace impact, but it is possible for all of them to ensure they are not having a negative impact and this is a good first step.
- There are already investible peace products on the market, illustrated by case studies from the ICRC and Innovest Advisory. It is important that we recognize there is a spectrum already available for all types of investors from those willing to provide concessional financing to those seeking market returns.
Nature Finance – The Next Wave
SFG also lended our support to the launch of Nature Finance, a new organization that is creating new pathways to align global finance with equitable, nature positive outcomes. During this event, Amazon defender, Neidinha Bandeira, gave THE speech that everyone at BB22 was talking about, check it out at 33:20.