New Interfaces for sustainable financial flow

New Interfaces for sustainable financial flow

What is the problem/s you are trying to solve? How does it relate to the SDGs?

Sustainable finance will power the SDG Implementation at many levels, from large scale policy decisions to new green products on the financial markets. Ideally, all finance should be sustainable, but that would require sustainability (ESG) information to be embedded in all financial decisions. This transformation has started and is accelerating, if still a tiny fraction of global capital flows. Sustainable finance is emerging in different forms, from policy-related novel financing for biodiversity and climate action, to green finance products on the global market, and is essential for the implementation and ultimate success of the SDGs. This generates a demand for improved flow of scientific insights and data from global environmental change research that can ensure that this financing has the desired effect for environmental and social sustainability. Ideally, finance should shift away from destructive economic activity to biosphere positive economic activity using either of these two channels. This lab will innovate in the interface between these communities of researchers and diverse financial actors. This lab could contribute to a number of SDGs but in particular SDG 17, as well as SDGs such as 15, 14, 13, 2 and 1.

 

Describe the co-design process and the intended participants. What sectors or groups do they represent and why are they invited?

The three communities whose meeting through this lab will generate innovation and problems solving are the global environmental change researchers, novel financing for climate/biodiversity negotiators/practitioners and green finance product designers. Early dynamic pooling of visions, tools and practices through a series of small virtual discussions and sharing of key materials sets the scene for identifying key points of joint need. In Stockholm, “users” will join in – from Finance Watch, to EarthDollar, Pension and Bank Sustainability Fund managers, etc. plus designers who can explore interfaces – digital and otherwise. This lab has financing to bring groups to Stockholm, but the codesign will have to happen virtually beforehand.

 

Describe the facilitation of the process.

The need for interfaces and tools is strongly identified in the green financial community (as identified in report  by the Green Finance Study Group preparing for the G20) This report, together with work on the results of novel financing mechanisms for biodiversity and social equity are enticements to global environmental change researchers to enter the world of finance. This lab will use processes designed to help communities develop real curiosity for each others areas of expertise and impact, towards searching together for the GEC scientific insights that will be good test cases for innovation. As this is planned to continue past 2017 – and is starting in a fairly early stage, the ambitions are simple – find a test case that gets everyone excited – and even if the common ground is limited, stay there and have fun – since the rewards are potentially huge for sustainability.

What are the potential innovations/prototypes and impact of these?

Potential tools will be considered on providing knowledge, insight and data-flow solutions that bring these communities closer together. These may be in the form of online platform[s] or other means. Impacts could be reached through easier access to information and networking.

Institution/Organization
Future Earth
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