GIZ and Indian partners launch Sustainability Series to promote Sustainable Finance

First-of-its-kind initiative in India, in association with YES Bank, RIRA and UNEP FI, aims to foster awareness for sustainability issues within the financial sector

Mumbai, April 23, 2013: Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, in a joint initiative with YES Bank, UNEP FI (United Nations Environment Program Finance Initiative) and RIRA (Responsible Investment Research Association) has launched the Sustainability Series, a first-of-its-kind initiative in India to increase Environmental & Social (E&S) awareness in the financial sector. More than 170 actors from financial sector, media, civil society and private sector were present in the inaugural session of the Event.

While inaugurating the Series, Dr. K. C. Chakrabarty, Reserve Bank of India (RBI) Deputy Governor, remarked, “Industry being the catalyst of development, it needs to embrace the concept of sustainability in its various processes. Sustainability is now seen as a key challenge as well as an opportunity in business. Banks as the financing agent of the economic and developmental activities of the world could also play a crucial role in promoting overall sustainable development.”

Commenting further on the role of banks he said, “Environmental viability is not independent from financial viability of business. That is why some banks have begun considering environmental viability along with commercial viability while making lending decisions. Indian banks play an important role and they need to approach sustainability in a holistic manner.”

The Indian financial sector and the wider Indian business community are still in the early stages of developing appropriate strategies to endorse sustainability. While banks are experts at assessing conventional financial risks, there is a need for greater awareness and appropriate skills to adequately address environmental and social (E&S) risks.

The first session of the Sustainability Series focused on this critical area through an in-depth workshop, which saw engaged participation of 50 senior risk and sustainability managers of leading public and private banks in India such as SBI, ICICI, HDFC, IDBI, Axis Bank, Deutsche Bank, Royal Bank of Scotland, LIC and IDFC. Further events are already planned for 2013, engaging with investors, project financers, and insurers.