World Green Economy Organisation launches Financial Sector Platform

The World Green Economy Organisation, WGEO, unveiled the Financial Sector Platform, at the UN Headquarters in Beijing, with an objective to mobilise investments for energy-efficiency initiatives and programmes to support the shift towards a green economy.

The organisation was launched by Vice President, Prime Minister and Ruler of Dubai, His Highness Sheikh Mohammed bin Rashid Al Maktoum in October 2016 and is supported by the United Nations Development Programme, UNDP.

A delegation from the WGEO, led by its Chairman Saeed Mohammed Al Tayer, attended the official launch of the platform in Beijing. Also present on the occasion were Mohammed Abdullah Al Shamsi, Charge d'affaires of the UAE Embassy in China, representatives from UNDP, representatives from the Asia Infrastructure Investment Bank, AIIB, officials from the China Investment Association, and officials from private and public sectors in China including representatives of the Hanergy Holding Group, Huawei, and Harbin Electric Company.

The launch was followed by meetings with officials from the private and public sectors in China. Al Tayer met Cui Yuying, Vice Minister of the State Council Information Office; Dr. Yuan Yinghua, Chairman of the Investment and Financing Committee in the China Investment Association Project; and officials from China’s Eco-Forum Global. The parties discussed ways to enhance co-operation and exchanged expertise on the best practices in green economy.

"The WGEO supports the vision of the wise leadership of the UAE, and in an endeavour to support and improve the environment and to facilitate easy access to green finance, we are pleased to announce the launch of the World Green Economy Organisation’s Financial Sector Platform, which will serve as a global forum to help raise sustainable finance, provide public and market leadership on green finance, and will further promote and advocate the UAE’s position as a leading global centre for the provision of green financial and professional services.

"Over the past few years, green finance is making rapid strides and gaining bigger momentum. Following the United Nations Sustainable Development Goals, SDGs, 2030 and the Paris Climate Agreement, the whole world has committed to concrete and practical steps to deliver a low-carbon and green economy. While varied sectors all over the world will continue to play a key role in the transition to a low-carbon economy, the success or failure of these efforts will lie with investors; with those institutions and individuals willing to back new technologies and infrastructure projects, and with the creation of sufficiently deep, liquid, resilient, and innovative markets for them to access green products and services. It is therefore clear that the public and private sector will have to work hand-in-hand to realise investment of this scale and this is where green finance is one of the important keys.

"China has launched an ambitious domestic programme to develop a green financial system and is placing green finance as one of the priorities of its G20 Presidency. As such, China was the chosen destination to launch this effective platform. In addition, given the strength of trade ties and investment co-operation between the UAE and China, particularly the UAE’s position as an important node for China’s ‘One Belt One Road’ initiative, launching the Financial Sector Platform in China speaks about our shared strategic objectives. The UAE strongly supports this Belt and Road initiative, which will foster economic growth both regionally and globally. As we all know, China has directly invested more than US$50 billion and created the AIIB, a new multilateral institution designed to finance vital public works throughout Asia’s emerging economies, and the UAE is a founding member of the AIIB and is committed to its central mission of bringing the Belt and Road vision to life.

"China’s approach to economic development mirrors our own. We share the same core beliefs in the essential connection between trade, peace and prosperity. For both the countries, our beliefs go beyond stated principles to concrete actions, best expressed by the strength of our bilateral trade, which has grown dramatically where China continues to top the list of the UAE's major trade partners for the third straight year, with total bilateral trade exchange amounting to more than $141 billion from 2014 through 2016. Since the establishment of diplomatic relations between China and the UAE, the two countries have built strong and deepening bilateral ties and we’re confident that the launch of this WGEO platform will further boost the relationship," Al Tayer added.

Through the launch of the Financial Sector Platform, WGEO remains committed to collaborating on new opportunities and enhancing economic and cultural bonds between the UAE and China. With the two countries sharing a similar vision of a sustainable future built on innovation, finance, shipping and trade, there is tremendous potential ahead to facilitate further green growth.

"Launching the Financial Sector Platform will not only provide access to green finance but also promote the standardisation of green practices, enhance the transparency of information, support market development for green investments at a global level and support other countries in developing and implementing national sustainable finance roadmaps," Al Tayer explained.

The Financial Sector Platform will back financial institutions in their efforts to set up green financing businesses, encourage loans and provide support to public and private firms participating in green investment programmes. It is thus clear that an approach as this has high transformational potential in terms of the sheer volume of financial flows.

"Recognising the importance of the financial sector's incorporation in the transformation process towards green economies, the launch of the Financial Sector Platform is to encourage public-private collaboration needed to support the smart design and effective scaling of market innovations and policy measures to advance green finance. These platforms reflect the enormous efforts in the UAE to support the UNSDGs 2030 and the Paris Climate Agreement to support global efforts to mitigate climate change and find innovative solutions to challenges related to sustainable energy, water and the environment in general," Al Tayer concluded.

The seventh platform of the WGEO will be launched during the upcoming World Green Economy Summit, WGES 2017, organised under the patronage of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, on 24th and 25th October at the Dubai International Convention and Exhibition Centre.