BoM Teams Up with EU & AFD for 3 Sustainable Finance Initiatives

In a transformative move, the Bank of Mauritius (BoM) has forged a strategic alliance under the SUNREF – Cap sur la Finance Durable programme, aimed at fortifying its sustainable finance framework. This partnership, which garners the support of the Agence Française de Développement (AFD) and the Delegation of the European Union, alongside the Mauritius Bankers Association Limited and Business Mauritius, is poised to embed climate-related risks at the very heart of the nation’s financial architecture.

Embedding Climate Risk at the Core

The initiative is not merely a response to the pressing challenges of climate change; it is a clarion call for a paradigm shift in how Mauritius approaches financial stability and regulatory frameworks.

Key focal points of this collaboration include the development of sophisticated climate risk models, the integration of these risks into regulatory and macroprudential frameworks, and the enhancement of access to vital climate-related data.

Furthermore, the Bank is set to expand the role of its Climate Change Centre, a pivotal entity in this transformative journey.

A Vision from Leadership

“The Bank recognises that the future of financial stability and economic resilience is intrinsically linked to sustainability,” declared First Deputy Governor Rajeev Hasnah. “This partnership underscores our commitment to embedding climate-related risks into the core of our monetary and financial stability frameworks, ensuring a secure and sustainable financial system for Mauritius.”

Aligning with Global ESG Standards

This collaboration signifies a monumental stride towards aligning Mauritius’ financial ecosystem with global Environmental, Social, and Governance (ESG) expectations.

By bolstering sectoral capacity and fostering sustainable investment, the partnership aspires to future-proof the island’s economy, all while attracting international capital that boasts robust ESG credentials.

As the world grapples with the realities of climate change, the Bank of Mauritius stands at the forefront of a crucial evolution, determined to safeguard the financial future of the nation through a steadfast commitment to sustainability.

Source: ESG News