This is where our connection to sustainable finance is most obvious. A well-functioning—and efficient—financial system has the important job of channelling savings to the most productive investments. Finance is not going to solve climate change, but many of the investments and innovations that will are very capital-intensive. That’s why it’s so important for the financial system to steer capital to the most-promising sustainable investments.
It is a pleasure to speak in front of the “Pillars of the Green Industry” to share the BSP’s critical role in promoting the sustainability agenda in the financial system. Let me start by providing you with an update on the Philippines’ economic outlook, followed by the BSP’s initiatives and key milestones in our sustainability playbook.