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🌍 The International Public Sector Accounting Standards Board (IPSASB) recently introduced a draft climate-related disclosure standard, SRS ED 1, designed specifically for the public sector. 🤝 This proposed standard, developed in collaboration with The World Bank, aims to foster global transparency in government-led climate actions by providing a framework for consistent, accountable disclosures. ⚖️ Given the urgent need for coordinated action across sectors, the standard highlights the unique role of governments in driving climate action through policies such as taxation, regulation, and subsidies, which impact entire economies. 📊 The financial sector has an increasing demand for reliable climate-related data, noting that sovereign bonds represented nearly 40% of the $100 trillion global bond market in 2022. 📈 By setting a baseline for the public sector, this standard aligns with the International Sustainability Standards Board’s (ISSB) framework, making it easier for investors to compare climate data across industries. 💼 This consistency is crucial to help public sector entities retain access to capital markets and meet global investors' information needs. 📅 IPSASB invites feedback from stakeholders—including government agencies, accountants, and standard setters—until 28 February 2025 to shape the final standard. 🎙️ In an upcoming launch event, leaders from IPSASB, ISSB, and IFAC will discuss the potential impact of SRS ED 1 on public sector climate leadership and global sustainability efforts. 🌎 This initiative is pivotal to embedding climate accountability into public sector reporting worldwide.

🌍 The United Nations Development Programme (UNDP) has issued a report urging nations to eliminate financing mechanisms that harm biodiversity and introduced a guide to support this transition. 🌱 Countries are encouraged to locate and cease financial subsidies that negatively impact biodiversity. UNDP’s newly released BIOFIN Workbook 2024 provides 130 countries with strategies for financing biodiversity conservation. 💸 The report highlights a considerable annual funding gap of $700 billion (over 1 trillion AUD) to achieve a sustainable planet and safeguard biodiversity. ⚠️ Without closing this gap, there will be serious repercussions for climate stability, food security, and human welfare. Globally, harmful subsidies currently amount to over $1 trillion (over 1.5 trillion AUD) annually. 🔍 The report details how countries can address these subsidies to protect natural resources. 📋 UNDP’s guide recommends three main steps: identifying environmentally damaging subsidies, reforming them to reduce environmental impact, and formulating National Action Plans aligned with the Sustainable Development Goals (SDGs). 💰 By revising these subsidies, nations can save funds and redirect them to bolster biodiversity protection. 🌿 UNDP’s Assistant Secretary-General, Marcos Neto, notes the importance of a “nature-positive economy” that integrates economic growth with environmental preservation. 💸Investing in nature, he asserts, creates jobs, enhances livelihoods, and fosters resilience while protecting biodiversity essential to all life. 🌎 The BIOFIN initiative has raised over $1 billion for biodiversity projects across 41 countries since 2018 and is assisting 23 countries in eliminating subsidies detrimental to nature. 🐾 Wildlife populations have plunged by 73% in the past 50 years, with freshwater species seeing an 85% decline, according to the World Wildlife Fund. …. Enjoyed this post? 👍Like 💬Comment 💌Share 🔔 Subscribe Our posts help people interested in #impactinvesting, #responsiblefinance, #ESG and #sustainability stay informed. 🔗 Follow Wholesum and Dr Tanvir Uddin for more insights, news, and articles.

The breadth of work undertaken by the Trade team at the Australian Trade and Investment Commission (Austrade) never ceases to impress me, and one of the most exciting areas going from strength to strength is Australia’s tech sector. It’s fitting that some of Austrade’s best and brightest were on the ground at the Tech Council of Australia’s National Tech Summit in Melbourne earlier this week to help businesses understand the opportunities available in Southeast Asia, who’s digital economy is expected to exceed $300 billion by 2025.  Austrade-sponsored workshop, ‘Looking beyond traditional tech markets to Asia’s growing Digital Economy’ showcased how Australian tech companies and venture capital (VC) firms can diversify beyond traditional markets.  Moderated by Madeline Ferguson, Southeast Asia Landing Pads Director, with a presentation from Asialink Business Associate Director, Advisory and Insights, Danielle Rajendram, the panel featuring Sekuro Annalise.ai Zookal and Wholesum discussed the strategic benefits, potential growth avenues, and challenges involved in establishing and expanding Australian tech businesses in Southeast Asia.  Austrade’s Director Investment Americas, Critical Technologies Lead, Andrew Barnes was also on hand to explore the role of industry in fostering commercialisation and innovation, and how investment pathways can be strengthened to position Australia as a global leader in critical tech.    Find out how Austrade’s Landing Pads program helps tech scaleups: https://ow.ly/snJx50U4I4R    Learn how Austrade is growing Australia’s Critical Tech capabilities: https://ow.ly/V0hG50U4MFI    Peter Horn | Daniel Boyer | Anthony Weymouth | Paula Guino | Jarrod Hurst | Madison Cahill| William Johnson  

It was wonderful to participate in an important conversation on investing and conducting business outside Australia, particularly Southeast Asia. Dr Tanvir Uddin joined a panel of inspiring business leaders who are pushing the frontiers of trade and investment in the region. Some facts that point to the exciting promise for the region (and why we at Wholesum continue to invest in the region through our small-and-medium-sized enterprise financing portfolio): 🌐 ASEAN is the world’s fastest-growing internet market, with 125,000 new users daily. This rapid expansion is expected to boost the digital economy significantly, adding approximately $1 trillion to the region’s GDP over the next decade. 📱 Mobile FinTech usage in six Southeast Asian countries has tripled since 2019, reaching 49% by May 2024, according to UnaFinancial. The Philippines leads at 63%, followed by Malaysia (55%), Indonesia (49%), Thailand (45%), Singapore (45%), and Vietnam (32%). 🌾 ASEAN ranks among the world’s most productive agricultural regions. In 2022, it yielded 195.5 million tonnes of rice, 44.7 million tonnes of corn, and 82.1 million tonnes of cassava. Rice output is projected to rise by 0.95% in 2023, reaching 202.34 million tonnes.

Something exciting is coming up in just over a week... The Conference of the Parties of the United Nations Framework Convention on Climate Change 29th edition (COP29). 🌍 Azerbaijan’s Minister of Ecology and Natural Resources, Mukhtar Babayev, unveiled the final texts for nine climate-focused pledges and declarations ahead of COP29. 💡These documents, released in October 2024, are designed to complement the official negotiation process at the upcoming UN climate summit in Baku. 🚀Babayev described the texts as "vital tools to drive progress on climate action" and a way to unite global actors in accelerating efforts to address the climate crisis. 🔋 The pledges cover various sectors, including energy storage, low-carbon hydrogen production, and water conservation. 📊They provide guidance on setting clear targets, measuring progress, and identifying areas for improvement. 💼 One notable inclusion is a call to create green energy zones and corridors to attract sustainable investment and infrastructure development. 🤝 A significant part of the pledges is the “COP29 Truce Appeal,” inspired by the Olympic Truce. ⚡This appeal promotes unity and cooperation during negotiations, aiming to set aside political differences to safeguard the planet. 🌏 The truce has garnered support from over 127 countries and nearly 1,100 non-state actors. 🔎Babayev emphasised the inclusive and transparent nature of the process behind the documents, highlighting their importance in sending market signals and directing financial flows. What are you hoping most for in this year's COP 29 in Baku?

The Taskforce on Nature-related Financial Disclosures (TNFD) recently announced a major milestone: over 500 global companies and financial institutions have committed to adopting its nature-related corporate reporting guidelines. 📈 This commitment, revealed at the COP16 Biodiversity Conference, represents a sharp rise from 320 companies earlier this year. It underscores a growing corporate recognition of nature-related risks and responsibilities. 🤝 Participating organisations, including KPMG, abrdn, and Qantas, have pledged to integrate TNFD-aligned disclosures into their annual reports, starting from fiscal years 2024 or 2025. 📊 This move supports the establishment of consistent reporting on governance, strategy, risk management, and target setting for nature-based initiatives. 🌿 The TNFD’s final recommendations, released in September 2023, build on the successful framework of the Task Force on Climate-related Financial Disclosures (TCFD). 💰 With 502 companies on board, representing a combined market capitalisation exceeding $6.5 trillion, and 129 financial institutions managing assets worth $17.7 trillion, this initiative includes 25% of the world’s Global Systemically Important Banks (GSIBs). 🌎 The commitment spans 54 jurisdictions and encompasses 62 of the 77 SASB SICS sectors, including representation from 25 emerging markets. 📜 The TNFD’s work is influencing a broader shift in sustainability standards, with the International Sustainability Standards Board (ISSB) integrating the TNFD framework into future standards on biodiversity and ecosystems. 🌱 Other organisations, such as CDP and the GRI, have also aligned with TNFD’s framework to advance comprehensive environmental and biodiversity reporting globally. 📌 This reflects a significant step towards standardising corporate sustainability disclosures on nature-related risks.

🌍 How can we ensure investments genuinely support sustainability and the global push for net-zero emissions? 📚Sustainable finance taxonomy provides a clear solution. This classification system defines which economic activities are environmentally sustainable, offering much-needed transparency and preventing greenwashing. 🔍 Clarity enables investors, businesses, and governments to make better decisions that align with long-term climate and environmental goals. 🌱 One of the primary benefits of the taxonomy is its ability to channel investments towards activities that genuinely contribute to the transition to a low-carbon economy. 💡 Financial institutions can rely on it to identify sustainable projects, thus reducing the risks tied to unsustainable practices. 📈 For investors and businesses alike, having a standardised framework boosts confidence in green projects, encouraging more capital to flow into sectors like renewable energy, sustainable agriculture, and clean technology. 🚀 This, in turn, can drive innovation, foster economic growth, and create new opportunities in emerging sustainable industries. 🛠️ Incorporating a sustainable finance taxonomy is not just a regulatory requirement; it’s a critical tool for ensuring long-term economic resilience and mitigating the risks associated with climate change. ✅ Sustainable finance taxonomy supports the broader goal of achieving global sustainability whilst offering clear pathways for responsible investment.

🌍 Morningstar Sustainalytics has recently enhanced its ESG reporting tools to assist companies and investors in meeting the European Union’s Sustainable Finance Action Plan requirements. 📈These updates include new data offerings aligned with the Corporate Sustainability Reporting Directive (CSRD), the ESMA Fund Naming Rules, and the EU Taxonomy. 📊 The expanded CSRD data program now covers over 450 criteria and analyses 25,000 companies, helping investors navigate stringent regulatory requirements. 🚀This initiative will impact approximately 50,000 EU firms, improving transparency and accountability in reporting on sustainability practices. ✅ In response to greenwashing concerns, Morningstar Sustainalytics has also introduced a solution for ESMA Fund Naming Rules to ensure that fund names accurately reflect their ESG commitments. 💼Over 1,600 funds were exposed to potential violations, and this tool allows investors to customise exclusions to ensure alignment with regulations. 🌱 Moreover, the updated EU Taxonomy tool helps track environmentally sustainable investments, with more than $500 billion already reported in aligned capital. ☀️These enhancements will support investors in making informed decisions as the EU Taxonomy expands to include four new environmental objectives. 💡 By simplifying ESG compliance, these tools empower investors and companies to navigate the complex regulatory landscape and contribute to a more sustainable, transparent financial ecosystem across Europe. 🖥️Morningstar Sustainalytics continues to lead ESG innovation, providing comprehensive resources to support the growing demand for responsible investment strategies.

CDP and the Net-Zero Data Public Utility (NZDPU) have expanded their partnership to provide free public access to essential climate data from over 10,000 companies, representing over 50% of global market capitalisation. ♻️ This collaboration supports global climate goals by ensuring open access to critical information, such as greenhouse gas emissions and reduction targets. Sherry Madera, CEO of CDP, highlighted the importance of this initiative, stating that CDP’s climate data has influenced markets for 25 years, and making it freely available will empower stakeholders across all sectors to make more informed decisions for a sustainable future. 🌱 By providing companies with a streamlined process for reporting climate-related information through CDP, the partnership also seeks to reduce the reporting burden on organisations. 🔄 🌐Mary Schapiro, Chair of the Climate Data Steering Committee (CDSC), emphasised this collaboration’s role in aligning stakeholders by offering accessible, comparable climate data. 📜 This access will enhance the ability of companies, regulators, and investors to monitor progress toward climate objectives, such as those outlined in the Paris Agreement. ⚡Key figures like Mike Bloomberg and Simon Stiell from the United Nations Framework Convention on Climate Change have praised the partnership for facilitating reliable, transparent climate data, essential for accelerating investments in clean energy and assessing progress towards climate goals. ✅ The initiative aligns with global climate reporting standards, ensuring consistency across major frameworks such as IFRS S2, ESRS, and TNFD. #impactinvesting #responsiblefinance #ESG #sustainability

🌍 Greenwashing is becoming one of the most serious threats to ethical investing today. In a landmark case, Vanguard Investments Australia was slapped with a record A$12.9 million (USD$8.9 million) fine for misleading claims about its ESG fund💸. The Vanguard Ethically Conscious Global Aggregate Bond Index Fund, launched in 2018, falsely claimed to exclude investments in sectors such as fossil fuels, alcohol, and tobacco❌.. 🕵️♀️ However, an investigation by the Australian Securities & Investments Commission (ASIC) found that 74% of the fund’s securities lacked proper ESG screening, leading to investments in companies like Chevron Phillips Chemical and the Abu Dhabi Crude Oil Pipeline—completely contradicting the fund’s ethical promises. 💼 This case exemplifies the rising tide against greenwashing, as Vanguard admitted to making false and misleading claims, ultimately benefiting from misrepresentation. With similar cases against Mercer Superannuation and Active Super, ASIC's crackdown on greenwashing continues. 📊 For ethical investors, transparency is paramount. This case serves as a critical reminder for fund managers to ensure their ESG disclosures are clear and accurate, or risk facing severe penalties from increasingly vigilant regulators. #impactinvesting #responsiblefinance #ESG #sustainability