The International Finance Corporation (IFC) has signed a cooperation agreement with Ukraine’s National Securities and Stock Market Commission to help boost climate finance in the country.
This initiative is part of IFC’s broader strategy to mobilise more sustainable finance to Ukraine.
The IFC will work with the Sustainable Banking Network (SBN), a community of financial sector regulatory agencies and banking associations from 40 emerging markets committed to advancing climate finance, to help Ukraine improve its green bond sector.
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IFC, SBN and Ukraine’s National Securities and Stock Market Commission will design a sustainable finance roadmap, develop a regulatory framework, and provide technical guidance on developing green and climate finance products, as well as implementing good environmental, social, and governance (ESG) standards and practices.
The aim is to support Ukraine’s progress in climate finance in line with international good practices.
The partnership will contribute to development, as increased access to capital encourages new investments, boosts economic growth, and generates employment opportunities.
IFC’s experts will also advise on how to foster good ESG practices that can help companies operate more sustainably, improve access to capital, mitigate ESG risks, and safeguard against mismanagement.
The initiative will be led by IFC’s Green Finance programme in partnership with the Federal Ministry of Finance of Austria and IFC’s Promoting Investment through Integrated Environmental, Social, Governance Standards Programme in Europe and Central Asia in partnership with the Swiss State Secretariat for Economic Affairs SECO.
Timur Khromaev, the chairman of the National Securities and Stock Market Commission, said: “The Ukrainian capital market should become part of the global capital markets and our work aims to help develop this potential. Together with our international partners, we will work on policies to introduce green finance standards in Ukraine, mainly through green bonds, the ESG disclosure guidelines and regulations. I am optimistic that successful introduction of such instruments will provide opportunities for the Ukrainian market to attract financial resources.”