New ECB research shows that stock markets are better than banks at reallocating investment toward “greener” sectors, and that innovative sectors with fewer tangible assets grow faster in countries with deeper stock markets.
According to its report, Dutch financial institutions have provided € billion in finance worldwide to companies that are highly dependent on ecosystem services, with € billion exposed to products that depend on pollination alone. De Nederlandsche Bank (2020), “Indebted to nature – exploring biodiversity risks for the Dutch financial sector”, June.