COP26 Side Event

Sustainable Finance for Climate Mitigation

03 Nov 2021
Sustainable Finance

COP26 in Glasgow provided the frame­work for a side event entitled Sus­tainable Finance for Climate Miti­gation. It was orga­nized by the Dia­logue on the Eco­nomics of Climate Change, represented by PIK, DIW Berlin and IfW, together with the Ger­man Federal Ministry of Edu­cation and Research (BMBF) in the German pavilion in early November:

The finan­cial sector plays an impor­tant role in the tran­sition towards a net-zero eco­nomy. Mode­rated by Prof. Dr. Karen Pittel (ifo Ins­titute) this panel presented and dis­cussed different policy options for the finan­cial sector at national and inter­national level. Karsten Löffler (Frankfurt School of Finance & Management / Green and Sustainable Finance Cluster Germany) opened with a keynote on the policy options and recommen­dations of the German Sustainable Finance Advisory Council. Sub­sequently, individual aspects of the recommen­dations were examined from a scientific pers­pective with short keynote speeches: First, reporting and trans­parency regulation to address the need for more standardized and forward-looking climate-related infor­mation. Second, policies that leverage this infor­mation to improve financial risk management. Third, which policies can set incentives to mobilize capital for climate-friendly invest­ments (Dr. Kai Lessmann (PIK), Dr. Franziska Schütze (DIW Berlin), Prof. Dr. Frank Schiemann (University of Hamburg), Christa Clapp (CICERO)). The Side Event in the German Pavilion was held as an online event.