UN Alliance for SDG Finance

UN Alliance for SDG Finance

An estimated $5-7 trillion a year are needed to realize the 2030 Agenda for sustainable development worldwide. The international community has made clear that the private sector plays and will play a fundamental role in the realization of this agenda, and for the delivery of the Sustainable Development Goals (SDGs) in the years to come.

Together, the UN Global Compact, the UN Environment Finance Initiative (UNEP-FI) and the Principles for Responsible Investment (PRI) constitute the largest networks of private and financial sector constituencies — corporates, investors, banks and insurers — dedicated to promoting the SDGs.

Together with UN Conference on Trade and Development (UNCTAD), we are joining forces with distinct but highly complementary platforms on SDG finance, providing a comprehensive set of solutions to mobilize private capital in achieving the Global Goals:

Together we have the capacity to:

  • EDUCATE. Bring clarity to different private sector players on the business relevance of sustainable development.
  • ENGAGE. Facilitate dialogue between key stakeholders in the pursuit of SDG business and finance solutions.
  • OPERATIONALIZE. Provide standards, frameworks and innovative solutions to operationalize the transition to an impact based economy

Activities

Each platform contributes to a common set of critical solutions in mobilizing private capital for the SDGs. This includes:
  • Investment case for the SDGs
  • Definitions and frameworks to ‘qualify’ financial products and activities under the SDGs (principles, reporting, benchmarking)
  • Guide to incorporate the SDGs in investment decisions (asset allocation, financial analysis and engagement)
  • Research and analytics
  • Map of innovative financial products for the SDGs
  • Lab for development and testing of new solutions

Who we work with

  • Investors. Asset owners and investment managers in search of profitable investments and impact aligned with the SDGs
  • Financial institutions. Banks, insurance and investment companies – looking to develop a market for SDG investments
  • Companies. Real economy companies looking to finance and scale their activities in support of the SDGs
  • International organizations, states and municipalities. To blend public and private finance for the SDGs

Description of the platforms

UN Global Compact Financial Innovation for the SDGs

This UN Global Compact Action Platform will bring together a multi-disciplinary group of finance practitioners and experts to develop innovative financial instruments that have the potential to direct private finance towards critical sustainability solutions. The platform will develop guidance on impact investment strategies that support the SDGs, map current and emerging financial instruments, and provide a laboratory for the development of new innovative instruments. Ultimately, the goal is to improve the risk/return profile of SDG investments to attract institutional investors.

UNEP-FI Principles for Positive Impact

The Positive Impact initiative is a collaborative movement started by UNEP FI member banks and investors to foster the impact-based business and financing paradigm we need in order to achieve a sustainable world and the SDGs in particular. Through the Principles for Positive Impact Finance, the Initiative promotes a holistic yet practical framework for financial institutions and their stakeholders to identify, promote and communicate positive impact for sustainable development. Through its Working Groups, it aims to pursue an open-source research and development approach to materializing its vision for an impact-based financing paradigm.

PRI Blueprint & Advisory Group on the SDGs

The PRI has made the SDG agenda an intrinsic part of its next 10-year Blueprint for Responsible Investment and formed an Advisory Group to help align signatory investment decisions and PRI’s work with the SDGs, including:
  • PRI Blueprint and SDG work program
  • The SDG Investment Case
  • Guidance on incorporation of SDGs in asset allocation
  • SDGs and active ownership
  • SDGs, KPIs and performance measurement

Partners

Contact Information

Careen Abb
Programme Lead, Positive Impact Finance
UNEP Finance Initiative
careen.abb@unep.org

Kris Douma
Director of Investment Practices and Reporting
Principles for Responsible Investment
kris.douma@unpri.org

Jerome Lavigne-Delville
Senior Manager, Financial Innovation for the SDGs
UN Global Compact
lavigne-delville@unglobalcompact.org

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