The Vice President, Dr Mahamudu Bawumia, launched Ghana’s Sustainable Banking Principles and Sector Guidance Notes in Accra.
They consist of seven (7) general Principles and five (5) Sector Specific Guidance Notes and present sustainable banking as a two-way interrelated imperative aimed at improving the contribution of finance to sustainable and inclusive growth by funding society’s long term needs; and strengthening financial stability by incorporating environmental, social and governance (ESG) factors in lending decision-making.
The five Sector-specific Guidance Notes on priority areas of the economy cover the Agriculture & Forestry, Mining and Oil & Gas, Construction and Real Estate, Power and Energy, and Manufacturing activities as related to the banking portfolios.
The Principles are to assist banks to respond to the emerging global mega trend issues, such as human security, anti-money laundering, socially responsible stewardship, information communication transparency and disclosure, corporate integrity, environmental and climate change.
He announced that the Government of Ghana will implement measures to undertake climate change and green economy programmes and projects,which will promote a clean environment,increase job creation and accelerate poverty reduction.
They will initially be applied to universal banks and subsequently broadened to include rural banks, savings and loans institutions, microfinance institutions and all the categories of non-bank financial institutions.
source:Ghana/nsemgh.com