Majed Al-Qatari’s Post

For those of you interesting in Transition Finance, please consider the call from the Transition Finance Markets Review led by Vanessa Havard-Williams. The intention is to look at how the UK financial market can support organisations globally to transition to net zero and so is relevant for corporates and financiers globally #transitionfinance

🌱 The UK government has launched an independent market review to explore how the UK can become a global hub for transition finance. On 14 March 2024, the Transition Finance Market Review (TFMR), led by Vanessa Havard-Williams, issued a call for evidence from financial institutions, real economy organisations, professional service providers, civil society and other stakeholders. The Review’s focus is on how the UK can leverage its existing strengths to become the best place in the world to raise transition capital, invest and obtain financial and professional services to support a net zero future. Although this review has been commissioned by the UK government, the intention is to look at how the UK financial market can support organisations globally to transition to net zero and so will be relevant to corporates and financial organisations across the globe. 🔗 Click below for more information about the Review. #NetZero #TransitionFinance #SustainableInvestment #ESG #ClimateAction

Ahead of the much anticipated UK Transition Finance Market Review coming out soon, André Abadie and I have set out our thoughts in Responsible Investor on what's needed to enable the flow of private capital into transition activities. #TFMR is expected to bring fresh insights on the difficult reality of decarbonising hard-to-abate sectors. From our perspective, the most effective way to move more capital into transition-enabling technologies is to ensure they achieve the right risk-return profile. At the moment, for this to happen, public policy interventions are needed. Read more here: https://lnkd.in/ei5bUPsM

Last week saw two important developments: the Transition Finance Market Review (TFMR) released its recommendations on scaling up transition finance, and the Government outlined plans for a new Industrial Strategy and gave an update on the development of the National Wealth Fund. Together these developments aim to boost UK growth and competitiveness and accelerate investments in green industries.    Read our latest blog to learn more about the TFMR and the National Wealth Fund and what they mean for your organisation: https://lnkd.in/e58phVdM   We look forward to sharing on-going developments and the implications for business.

The Transition Finance Market Review today publishes its final report.   This landmark Review, co-sponsored by HM Treasury and Department for Energy Security and Net Zero, provides a growth framework for transition finance – financial products and services that facilitate an economy-wide transition to net zero.   E3G was delighted to support this work and to have our very own Kate Levick on the Review’s expert panel. The recommendations provide a clear call to action on government and market to drive forwards the UK’s SDR, ensure credibility is central to the market’s development and rethink the role of government in driving the transition. This includes tangible actions such as: 📜 Collaboratively developing a definition of transition finance – building off the work of the Review. 📂 Publishing the long-awaited mandatory transition plan consultation. 📈 Creating a national investment plan backed up by robust sectoral decarbonisation pathways.   Key findings of the Review include:   💸 Companies and governments will require credible transition finance – financial products and services that facilitate an economy-wide transition to net zero – to deliver on decarbonisation commitments and meet Paris Agreement goals.    🌍 The UK is uniquely positioned to become a leading hub for the transition finance market and use its leadership position for financial and professional services to accelerate the global transition.    ⏰ The opportunity is timebound. Failing to act now risks losing ground to other markets that are rapidly building capacity in transition finance. This will only serve to delay climate action. The government, companies and market must act together now to establish a coherent strategy.   The review was chaired by Vanessa Havard-Williams and hosted by the City of London Corporation. You can download the report here 👇  https://lnkd.in/eaTRx6s8 Transition Plan Taskforce (TPT) #TransitionFinanceMarketReview #IndependentReview #SustainableFinance

Last week, the Transition Finance Market Review (TFMR) set out its recommendations on how to scale up transition finance and unlock the investment needed to decarbonise our economy. It complements the National Wealth Fund, which is intended to support clean energy industries and the delivery of the Government’s Industrial Strategy.   Read our latest blog to learn more about the TFMR and National Wealth Fund and what they mean for your organisation: https://lnkd.in/dxJFXGJh   Here are some brief reflections: 🍃 Last week, the UK Infrastructure Bank became the National Wealth Fund, with a broader mandate, expanded suite of financial instruments, and higher capacity for risk. We expect to learn more about how it will operate in practice as the Government brings forward legislation and publishes an updated framework document, strategic priorities and investment principles.   🍃 The TFMR’s recommendation for a reestablished Net Zero Council to develop granular decarbonisation sector pathways has the potential to provide increased clarity on policy and simplify conversations across the UK value chain through having a single narrative and set of assumptions. What will be important now is how and when the Government takes forward this recommendation. 🍃 The TFMR’s proposed Transition Finance Classification System and Guidelines for Credible Transition Finance will be helpful to financial services firms as they seek to provide transition finance and develop their transition finance frameworks.

The need to establish a strong, high-integrity market for transition finance is critically important to the delivery of net zero. In this new article from Responsible Investor, Vanessa Havard-Williams, Chair of the Transition Finance Market Review, outlines the UK's plans to establish itself as a global transition hub. https://lnkd.in/eBXYi5Nz

📣 The much expected mandated report on the doubling goal of adaptation finance is finally here. 🗝 Key Findings: - Developed countries provided and mobilized a total of USD 32.4 billion in adaptation finance in 2022, including a total of 28.9 billion in international public finance, 54% over 2019 levels. - USD 10.6 billion was provided as bilateral finance, and USD 18.3 billion was provided through multilateral channels, while USD 3.5 billion of private adaptation finance was mobilized through public interventions in 2022. - As of 2022, halfway between 2019 and 2025, efforts are more than halfway to reaching USD 40 billion by 2025, signalling developed countries are on track. 💫 Suggested action areas: - Scaling up adaptation finance: The report emphasizes that it is critical that contributors continue their efforts to scale-up and enhance access to international public adaptation finance. - Enhancing enabling environments: A strong enabling environment provides the clarity, stability, and confidence needed to unlock investment from all sources and facilitate effective adaptation implementation that promotes long-term resilience. It is key to integrate efforts across sectors and practices, including disaster risk reduction. - Strengthening Development Practices: Adaptation and resilience must be integrated into development planning and finance portfolios. This means climate and environmental impacts must be considered in all international assistance spending, including in sectors not traditionally associated with climate and the environment - Deploying public finance strategically: public finance for adaptation needs to be deployed in a way that crowds in additional investment, including from the private sector. This requires strategic investments that align with developing country priorities. - Exploring innovative approaches: Adaptation is relevant to multiple sectors, scales, and industries, requiring a diverse and often new approach to adaptation finance. ❓ While it is a positive sign that developed countries are on track, and continue to emphasize the need to scale the provision of public finance, the report does not shed light on what could come after the 2025 goal is met. The lack of data for 2023, and the fact that countries still don't agree on a definition of climate or adaptation finance also limits the report's impact. 💪 The new climate finance goal due to be agreed on at COP29 provides an opportunity for developed countries to continue demonstrating their commitment to adaptation finance. Agreeing on an adaptation finance subcomponent well beyond the doubling, perhaps as a floor, could in fact build trust and confidence between parties effectively unlocking a wider agreement on the goal. https://lnkd.in/escXwUZ4

Very interesting read setting out what the National Wealth Fund and policy recommendations from the Transition Finance Market Review will mean for organisations and how they will steer progress - from Rosalind Fergusson and Simon Brennan #TransitionFinanceMarketReview #NationalWealthFund #TFMR #SustainableFinance #TransitionFinance Deloitte

⚡Transition Finance Market Review — the UK takes a welcome lead with landmark report After just over 100 days in office, the Labour government has injected the green finance agenda with much-needed momentum with the release of the Transition Finance Market Review. In her speech at the unveiling of the 133-page report, Sarah Jones MP, who holds a joint portfolio between DESNZ and the Department for Business and Trade, reiterated Labour’s manifesto pledge "to make the UK the green finance capital of the world," adding that "there must be a genuine partnership between government and the private sector" to achieve the country's ambitious clean energy goals. A huge congratulations to the Review's chair, Vanessa Havard-Williams for laying out a credible and innovative roadmap to scale transition finance and enhance trust in the market. Key features include: 💡 Guidelines for Credible Transition Finance — a voluntary, principles-based framework to support institutions in developing their own transition finance frameworks. 🏦 Entity-Level Transition Finance encouraging the development of mandatory transition plans for UK-registered financial institutions and large companies, fostering transparency and building trust through robust disclosure standards. ✅ Embedding Credibility and Integrity — to avoid greenwashing, the review proposes a Transition Finance Classification System that aligns investments with verifiable decarbonization goals, ensuring high integrity across the board. The PLG looks forward to welcoming Vanessa to discuss the Review at a roundtable in the coming months. #GreenFinance #ESG #NetZero #TransitionFinance #UKLeadership #SustainableGrowth #LabourPolicy https://lnkd.in/eyqRp-5u