Transcription of The Philippine Sustainable Finance Roadmap
1 The Philippine Sustainable Finance RoadmapThe Philippine Sustainable Finance RoadmapThe Philippine Sustainable Finance RoadmapTable of ContentsSustainable Finance Definition of Sustainable Global Local Drivers of Sustainable Scaling Finance for the Sustainable Development Current landscape Philippines Sustainable Finance Development Details of the Different Discussion of the PillarsAcknowledgementsForewordThe Philippine Sustainable Finance RoadmapTable of ContentsStrategic Plans to Develop Sustainable Finance in the Creating a Conducive Policy Integrating sustainability considerations intomacroeconomic policies and regulations Strengthening coordinating efforts within the financial Embedding sustainability into the risk management of the banking, insurance, and asset management Encouraging sustainability and climate-related Conducting capacity Joining international initiatives on Sustainable Mainstreaming Sustainable Financing Promoting Sustainable Financial Multilateral Blended The Agri-Agra Reform Credit Act of Market Bond Issuance by the Sustainability Resilience Green Investment Improving the Sustainable Finance definition and creation of a principles-based Tracking Sustainable Finance Developing a Sustainable Investment Driving Sustainable Financing low carbon Financing other Establishing a Sustainable pipeline database.
2 Both for public and private sector Progress monitoring and regular updatingThe Philippine Sustainable Finance RoadmapAcronyms & AbbreviationsACGFASEAN Catalytic Green Finance Facility ACMFASEAN Capital Markets ForumADBA sian Development bank AMSASEAN Member State ASEANA ssociation of Southeast Asian Nations ASEAN LCEPASEAN Low Carbon Energy ProgrammeASTIA dvanced Science and Technology Institute BAPB ankers Association of the Philippines BCDAB ases Conversion Development Authority BFARB ureau of Fisheries and Aquatic ResourcesBMBB iodiversity Management Bureau BNMBank Negara MalaysiaBOCB ureau of Customs BOIB oard of Investments BSPB angko Sentral ng Pilipinas CBIC limate Bonds Initiative CCAC limate Change AdaptationCCAM-DRRC limate Change Adaptation, Mitigation, and Disaster Risk Reduction CCCC limate Change CommissionCCETC limate Change Expenditure Tagging CDAC ooperative Development Authority CHEDC ommission on Higher Education CIFC limate Investment Fund CISC ollective Investment SchemeCMDCC apital Market Development Council CMMC apital Markets MalaysiaCOPC onference of the PartiesDADepartment of Agriculture DBMD epartment Budget and Management DBPD evelopment bank of the PhilippinesDENRD epartment of Environment and Natural Resources DepEdDepartment of Education DFAD epartment of Foreign AffairsDICTD epartment of Information and Communications Technology DILGD epartment of Interior and Local Government DOED epartment of EnergyDOFD epartment of FinanceDOHD epartment of HealthDOJD epartment of Justice DOLED epartment of Labor and EmploymentDOSTD epartment of Science and Technology DOTD epartment of Tourism DOTrDepartment of
3 Transportation DPWHD epartment of Public Works and Highways DRRMD isaster Risk Reduction and Management DTID epartment of Trade and Industry E&SEnvironmental and socialECEuropean CommissionEEEnergy EfficiencyEE&C ActEnergy Efficiency and Conservation Act EMBE nvironmental Management Bureau ERDBE cosystems Research and Development Bureau ERME nterprise-wide Risk Management ESGenvironmental, social, and governance ESIE nergy Savings InsuranceESRMSE nvironmental and Social Risk Management SystemETFE xchange traded fundETNE xchange traded notesEUEuropean UnionFCAF inancial Conduct Authority FDIF oreign Direct Investment FINEXF inancial Executives Institute of the PhilippinesFPAF ertilizer and Pesticide Authority FPRDIF orest Products Research and Development Institute FSCCF inancial Stability Coordination Council FSFF inancial Sector ForumGCFG reen Climate Fund GDPG ross Domestic ProductGEWEG ender Equality and Women's EmpowermentGFIG overnment Financial InstitutionGFITG reen Finance Industry Taskforce GHGG reenhouse gasGIBG reen Investment BankGIING lobal Impact Investing NetworkGIVG reen Investment VehicleThe Philippine Sustainable Finance RoadmapAcronyms & AbbreviationsGOCCG overnment-Owned and Controlled Corporations GRIG lobal Reporting Initiative HEPSHigh
4 Energy Performance Standards HLPFHigh-Level Political Forum HLURBH ousing and Land Use Regulatory Board HUDCCH ousing and Urban Development Coordinating Council IACGRI ntegrated Annual Corporate Governance Report ICInsurance CommissionICMAI nternational Capital Market Association IFCI nternational Finance CorporationIFRSI nternational Financial Reporting StandardsIHAPI nvestment House Association of the PhilippinesIIRCI nternational Integrated Reporting CouncilIISDI nternational Institute for Sustainable DevelopmentIRAI nternal Revenue AllotmentIRENAI nternational Renewable Energy AgencyISSBI nternational Sustainability Standards Board ITSFI nter-Agency Technical Working Group for Sustainable FinanceLBPLand bank of the PhilippinesLFIL ocal Financial InstitutionsLGUL ocal Government UnitLMBLand Management BureauMASM onetary Authority of Singapore MDAM indanao Development Authority MDBM ultilateral Development BankMEPSM inimum Energy Performance Standards MGCFM ongolia Green Finance CorporationMINDAM indanao Development Authority MMDAM etropolitan Manila Development Authority MOFM inistries of Finance MOUM emorandum of UnderstandingMRV SystemMonitoring, Reporting.
5 And Verification SystemMSFIM alaysian Sustainable Finance Initiative NAMRIAN ational Mapping and Resource Information Authority NAPCN ational Anti-Poverty Commission NASTN ational Academy of Science and Technology NCCAPN ational Climate Change Action Plan NCMFN ational Commission on Muslim Filipinos NDCN ationally Determined Contributions NDRRMPN ational Disaster Risk Reduction and Management Plan NEDAN ational Economic and Development Authority NFSCCN ational Framework Strategy on Climate Change NFVN ational Financing Vehicle NGAN ational Government AgencyNGFSN etwork of Central Banks and Supervisors for Greening the Financial System NGONon-governmental organizationNICCDIESN ational Integrated Climate Change Database and Information Exchange SystemNRCPN ational Research Council of the Philippines NREPN ational Renewable Energy Program NWRBN ational Water Resources Board ODAO fficial Development AssistanceOECDO rganization for Economic Cooperation and Development PAG-ASAP hilippine Atmospheric, Geophysical, and Astronomical Services Administration PAPP riority programs and projectsPCGP artial Credit GuaranteePCIEERDP hilippine Council for Industry.
6 Energy and Emerging Technology Research and Development PCIFP hilippine Catastrophe Insurance FacilityPCSDP alawan Council for Sustainable Development PCWP hilippine Commission on WomenPDICP hilippine Deposit Insurance Corporation PDPP hilippine Development PlanPEPP hilippine Energy Plan PhilGuaranteePhilippine Guarantee Corporation PIFP roject Implementation FundPIPP ublic Investment Program PIPOL SystemPublic Investment Program Online SystemPLCP ublicly-listed companyPMSP residential Management Staff PPFP roject Preparation Fund PPGDP hilippine Plan for Gender-Responsive DevelopmentPPPP ublic-Private Partnerships PPPCP ublic-Private Partnership Center PRAP rudential Regulation Authority PSAP hilippine Statistics Authority The Philippine Sustainable Finance RoadmapAcronyms & AbbreviationsPSEP hilippine Stock Exchange PSFP eople s Survival Fund R&DResearch and DevelopmentSASBS ustainability Accounting Standards Board SBNS ustainable Banking NetworkSCSecurities CommissionSDGS ustainable Development Goals SECS ecurities and Exchange CommissionSEIS cience Education Institute SIFS ustainable Insurance Forum SMES mall-to-medium enterpriseSMUS ingapore Management University SUCS tate Universities and Colleges SUSASEAN Sustainability Bond StandardsTCFDTask Force on Climate-related Financial Disclosures TRAIN ActTax Reform for Acceleration and Inclusion ActUNUnited Nations UNEPU nited Nations Environment ProgrammeUNFCCCU nited Nations Framework Convention on Climate Change VNRV oluntary National Review WC-CMDW orking Committee on Capital Market Development WEFW orld Economic ForumThe Philippine Sustainable Finance
7 RoadmapAcknowledgementsTheSustainableFin anceRoadmapwasdevelopedthroughdiscussion andconsultationwithmembersofthePhilippin esInter-AgencyTechnicalWorkingGroupforSu stainableFinance(ITSF).ThisRoadmapwasdev elopedbyEY,withsupportfromIMCW orldwideLtdandtheInternationalInstitutef orSustainableDevelopment(IISD),aspartoft heUKGovernment sASEANLowCarbonEnergyProgramme(LCEP).The ASEANLCEP isanOverseasDevelopmentAssistanceprogram memanagedbytheUKForeign,Commonwealth, Philippine Sustainable Finance , ,duetolackofavailablecurrentdatawithinth egovernmentonthecoststofundclimatemitiga tionandadaptationprojects,aswellascostst oachievetheSDGs, , Philippine Sustainable Finance RoadmapPage 91 Sustainable Finance OverviewThePhilippinesrecognizestheimper ativetotransformintoamoresustainableande nvironmentallymindfulsocietyandmovetoamo recirculareconomy, asysteminwhichresourcesareusedtotheirmax imumextentbeforebeingdisposedof ,limitedavailabilityofnaturalresources, ,growth, Definition of Sustainable FinanceCurrently, ,therearesomeinternationalandnationaldef initionswhichcouldserveasareference,fore xample.
8 TheUK sGreenFinanceStrategyincludes GreeningFinance and FinancingGreen ,referringtostrategiestomainstreamclimat eandenvironmentalfactorsasafinancialands trategicimperativeandmobilizeprivatefina nceforcleanandresilientgrowth,respective ly TheEuropeanCommission(EC)definessustaina blefinanceasreferringtotheprocessoftakin gdueaccountofenvironmental,social,andgov ernance(ESG)considerationswhenmakinginve stmentdecisionsinthefinancialsector,lead ingtoincreasedlonger-terminvestmentsinto sustainableeconomicactivitiesandprojects 2 TheASEANS ustainabilityBondStandards(SUS)developed basedontheInternationalCapitalMarketAsso ciation(ICMA) sSustainabilityBondGuidelinesmayprovidei nsightsonwhatcanbeclassifiedas Sustainable Philippine Sustainable Finance RoadmapPage 101 Sustainable Finance OverviewSustainableFinanceincorporatescl imate,greenandsocialfinancewhilealsoaddi ngwiderconsiderationsconcerningthelonger -termeconomicsustainabilityoftheorganisa tionsthatarebeingfunded,aswellastherolea ndstabilityoftheoverallfinancialsystemin whichtheyoperate3.
9 Figure 1. Sustainable development scope4 Thereareseveralfinancialconceptsrelatedt osustainablefinance,suchas low-carbonfinance , climatefinance and greenfinance . ,theUnitedNationsEnvironmentProgramme(UN EP) (UNEP). DevelopmentGovernanceEconomicSocialEnvir onmentalClimate change mitigationClimate change adaptationOther environmental Low-carbon ClimateGreenSocioenvironmental Sustainable The Philippine Sustainable Finance RoadmapPage 111 Sustainable Finance :The2030 AgendaforSustainableDevelopmentWithinthe Philippines,theBangkoSentralngPilipinas( BSP)recognizesfinancialstabilityconcerns arisingfromclimatechangeandotherenvironm entalandsocialrisksthatcouldsignificantl yaffectthebank ,suchasphysicalandtransitionrisks,couldr esultinsignificantsocietal,economic, , , ,itdefinessustainablefinanceasfollows:Su stainableFinancereferstoanyformoffinanci alproductorservicewhichintegratesenviron mental, LocalSustainablefinanceiscriticaltoachie vingtheglobalSustainableDevelopmentGoals (SDGs).
10 TheSDGsareauniversalcalltoactiontoendpov erty,promoteinclusiveness,tobuildpeacefu lsocieties, :economic,social, , Philippine Sustainable Finance RoadmapPage Drivers of Sustainable FinanceThePhilippinesrecognizesitsextrem evulnerabilitytoclimatechangeandthatlong -termaspirations theAmbisyonNatin2040, , (SDGs)In2015,thePhilippines,alongwiththe other192 MemberStatesoftheUnitedNations(UN),commi ttedtoachievethe17 SDGs,withits169targets, 2. UN Sustainable Development GoalsSustainable Finance OverviewWiththePhilippines VoluntaryNationalReview(VNR)oftheSDGspre sentedtothe2019 High-LevelPoliticalForum(HLPF)onSustaina bleDevelopment,itshowedtheprogressoftheP hilippinesonitsSDGswhichfocusedonthefoll owinggoals:GoalIndicatorBaselineLatestda ta4 Quality EducationPrimary net enrolment rate (%) (2015) (2017)Primary completion rate (%) (2015) (2017)Secondary net enrolment rate (%) (2015) (2017)Secondary completion rate (%) (2015) (2017)The Philippine Sustainable Finance RoadmapPage 131 Sustainable Finance OverviewGoalIndicatorBaselineLatestdata8 Decent Work and Economic GrowthAnnual growth rate of GDP per capita (%) (2015) (2018)Unemployment rate (%) (2015) (2018)10 Reduced InequalitiesGrowth rate of household income per capita (from 2015 to 2018) (%)Bottom 40%Total Climate ActionNumber of persons directly affected by disasters846,651 (2015)682,315 (2018)16 Peace, Justice, and Strong InstitutionsProportion of persons who had at least one contact with a publicofficial and who paid or was asked to pay bribe to a public official (2016) (2017)
