In the context of climate action, sustainable finance should also aim to mobilise capital towards investment for mitigation and adaptation policies. If we are to meet the Sustainable Development Goals of the United Nations and the objectives of the Paris Agreement, the financial sector needs to maximise its contribution and align itself with these goals.
in case of concerns that liquidity stress in global markets could materially impair the pursuit of domestic policy goals. Further progress in global and regional financial safety nets would help overcome this limitation. At the domestic level, another challenge is about foreign exchange risk.