Forests & Finance panel at Landac on The impact of Finance on Forests
Companies engaged in the forest-risk agro-commodity supply chains need finance for their operations. Financiers are exposed to environmental, social, and governance risks when the companies they finance act in unsustainable ways. More importantly, forests and the peoples that rely on them, are adversely impacted by such unsustainable practices. Some financial institutions have developed frameworks and tools to mitigate these ESG risks. Nevertheless, ESG violations still remain. In this session, panellists and the audience will engage in a discussion on the road ahead. What else can the financial sector do, and what more is needed to ensure that forests and the peoples that depend on them are protected from the most negative impacts of agro-commodity development?
Some financial institutions engage in voluntary initiatives and develop frameworks and tools to mitigate the adverse impact of the agro-commodity companies they finance
Regulations are being developed in the EU, US, and UK for deforestation free supply chains
There are frontrunners and laggards among financial institutions
The laggards aren’t currently covered by any regulations currently under development, and only have very weak policies and tools in place
Forests and communities are still being destroyed, and time is running out to protect them