Research institute explains why SA’s Green Finance Taxonomy is not being used

In the year since its release, the South African Green Finance Taxonomy (GFT) is hardly being used, despite its intention to provide a common language on financial markets, enhance transparency on sustainability of investments and reduce greenwashing. Sustainable development think tank German Institute of Development and Sustainability (IDOS) researcher Sören Hilbrich explained during the Trade & Industrial Policy Strategies’ (TIPS’s) yearly forum on August 1, that, ultimately, the GFT is aimed at enabling capital flows to shift to more sustainable economic activities.