POLITICS & INSTITUTIONS - ECONOMY

Finance crucial for fighting climate change: Dieschbourg



A conference dedicated to responsible investing opened with a call from Luxembourg’s environment minister for the financial sector to help combat global warming.

Carole Dieschbourg (Green party) stated on Tuesday:

“Everyone, according to their specific character, must be an actor in this fight. The contribution of the financial sector is crucial. The 2015 Paris Conference mentioned the huge capital requirements that the world will need. It is therefore crucial to redirect financial flows.”

Dieschbourg delivered the keynote address at Luxflag Sustainable Investment Week, a series of 15 panels and talks held throughout Luxembourg City. The event was organised by Luxflag, a not-for-profit based in Kirchberg that certifies investment funds’ environmental, social and corporate governance claims.

Denise Voss, chair of Luxflag, said at the opening ceremony: “Our goal is really to put the challenges of sustainable finance at the forefront throughout this week.”

The first conference topic was “Managing Water and Waste – what can financial industry do about it”. The answer is a lot, but investors need not take a hit, according to Saurabh Sharma, associate investment director at Fidelity International. Sharma stated:

“Market values related to water purification and waste control offer better results than global indices. Those who think investing in ESG or impact finance are losing money are very clearly mistaken.”

The three-day conference continues through Thursday.

Reported by Jean-Michel Lalieu; edited by Aaron Grunwald