The appetite for sustainable investments among financial institutions, funds and corporates in Asia continues to rise, and further public and private sector cooperation is needed, according to latest analysis by the Pacific Basin Economic Council (PBEC), ESCAP Sustainable Business Network (ESBN) and KPMG.
Michael Walsh, Chief Executive, Pacific Basin Economic Council, said: “Public attitudes are changing fast and the sustainability debate has become an inclusive policy in boardrooms globally. There are significant opportunities in this region by adopting ESG standards. PBEC therefore supports and encourages further collaboration between institutions and industry leaders in this segment.”
Currently over four-fifths of total global sustainable investing assets are concentrated in Europe and North America, the report notes, according to the Global Sustainable Investment Alliance. Asia, especially outside of Japan, has seen relatively less investment, despite increased realisation within the investment community regarding the importance of sustainable investments. In order to meet the UN’s Sustainable Development Goals by the target year of 2030, the UN Economic and Social Commission for Asia and the Pacific (UNESCAP) has estimated that the Asia Pacific region will need to spend USD1.5 trillion annually – the equivalent of five percent of GDP.