One of the key issues if we are to improve investment in nature – and especially if the private sector is to start pulling its weight – is to increase understanding of the benefits of sustainable financing.
Minority shareholders at, for example Royal Dutch Shell and Exxon Mobil have already made their voices heard and have forced the companies to change their approach to decarbonization.
But, as Armen Dallakyan explains, the private sector still needs to do much more to help save the planet.
MEET THE EXPERT
Armen Dallakyan joined Ken Associated as Director of Sustainable Consulting in December of last year.
Before that he worked as the Head of Financial Institutions ratings at ACRA Rating Agency, and as a Senior Credit Analyst at Moody's Investor's Service.
WHAT DO DALLAKYAN SAY?
There is certainly some reason for hope, according to Armen Dallakyan: "A lot has to be done," he says "but there is a clear shift, especially in the past year. Many companies, indeed, are accelerating their efforts."
And that, he says is largely down to government intervention: "Some of the changes are actually happening because of this tidal wave of new regulations that is happening across the world in the United States, Europe, China and many other countries where banks, assets, asset managers, businesses are forced to pay more attention on environmental and social issues."
A global issue clearly requires a global solution.
"The United States and China are already clear leaders in terms of the volume of private sector investments in nature-based solutions." He says "But what we have to do is to make sure that policy makers in other emerging developing countries are also taking faster actions."
And that will take a joined-up approach - "It's important that developed countries and multilateral development banks provide necessary assistance, both technical and financial, for these countries to develop such solutions."
ALSO ON THE AGENDA:
- Justin Adams, Director of Nature Based Solutions at the WEF joins Stephen to talk through the report and the worrying statistic that, currently, just 14 percent of investment in nature-based solutions comes from private companies.
- Stephen speaks to Richard Lancaster, CEO of electricity supply company CLP Holdings about how a company can ensure every part of its business is fully sustainable, and why managers and investors alike are finally starting to realise sustainability is no longer something which is done just for show.