Asia Transition Finance Study Group (ATF SG)
19 December 2023Amidst climate change challenges, sustainable finance transactions declined in 2022 after a previous surge. Asia's fledgling sustainable finance sector faces obstacles due to unclear market standards. The Asia Transition Finance Study Group (ATF Study Group) introduced guidelines and measures to promote a 'just and orderly' transition.
Recent progress in Southeast Asia, especially in the power sector, showcases commitment to meet targets. National taxonomies in ASEAN integrate social aspects for smoother transitions. However, varying demands for transition finance among financial institutions persist, signaling a lack of awareness.
The report emphasises the necessity for coordinated efforts in future work, advocating for deeper understanding, practical knowledge sharing, and collaboration to navigate transition finance guidelines, policies, and technologies effectively. Such collaboration aims to drive a more sustainable and aligned financial ecosystem towards a net-zero future.
