Green capital will be the focus of discussions at the annual World Green Economy Summit (WGES 2018) to be held on 24-25 October 2018.
Green finance refers to the financing of investments that provide environmental benefits in the broader context of environmentally sustainable development.
WGES 2018 will host discussions on how to unlock this capital. With input from governments, businesses, financial institutions and investment advisors, the summit will examine current climate-finance gaps in order to define areas where investments are most needed. It will also shed light on green investment vehicles, climate-change reporting, carbon pricing as an instrument to raise green capital and the widespread problem of greenwashing.
WGES is a platform to share and exchange knowledge and bring to focus new technologies that drive the growth for a green economy including improvements in energy efficiency, energy conservation and waste reduction. WGES is set to take place under the patronage of HH Sheikh Mohammed Bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai. The summit is organised by DEWA and the World Green Economy Organisation (WGEO) in collaboration with international partners under the theme ‘Driving Innovation, Leading Change’.
HE Saeed Mohammed Al Tayer, Vice Chairman of the Dubai Supreme Council of Energy in Dubai, and Chairman of WGES, said: “With growing emphasis of governments and public and private sectors on going green and the rapidly increasing need to find ways to build a sustainable future, green capital is the new trend for innovative financing solutions. While WGES 2018 will outline several green financing options, it will also help participants develop policy frameworks to promote green capital.
“The UAE and Dubai in particular has always been the front-runner for accelerating green capital, and the Dubai Green Fund was created with the aim of catalysing crowding into green economy projects. With an aim to help companies in the private and public sector invest in green projects such as renewable energy, retrofitting existing fossil fuel-based energy systems, energy efficiency and much more, DGF’s role is to lead the way into investments that have to date not been taken up by existing operating lenders. This model of investment will serve as a positive influence for institutional investors in the UAE, but also across the world.”
Dubai Green Fund has raised AED2.4bn last year to support green financing. The new platform directly invests in environmentally-focused companies, whilst offering loans to businesses in the green sector at reduced interest rates.
Samy Ben-Jaafar, CEO of Dubai Green Fund, said: “Mobilising sufficient public and private green capital is a key success factor. Accordingly, the Dubai Green Fund was created to crowd–in investors into the green economy. The Dubai Green Fund (DGF) will not make subsidized financing; ultimately, it needs to attract private sector institutional investors who seek market based returns. Its role is to lead the way into investments that have to date not been taken up by existing lenders and private equity firms. Green finance should be the mainstream, not the alternative.”
WGES 2018 will focus on three main pillars, green capital, digital transformation, and leadership and social engagement. The event will gather financial executives, investment professionals, and thought leaders to discuss ways to increase green capital flows into regional and global environment-friendly projects and how to de-risk those investments.
Focusing on green loans, bonds and savings, WGES 2018 will also explore methods to develop long-term responsible investment strategies, promote international collaboration to facilitate cross-border investment in green funds and provide strategic policy signals and frameworks to help reduce uncertainties for green investment.