For a recent Roundtable on green finance with financial institutions and development partners, CSF had the opportunity to provide inputs into the design of the session and provide concluding insights at the end of the session. This Analytical Note serves as a recap of the key findings and takeaways on the progress of implementing green finance in Sri Lanka, the near-term prospects, and current and emerging challenges to be tackled. The session titled, ‘Greening the Economy through Circular Economy Green Finance’ held on 05 April 2024 was organized by Biodiversity Sri Lanka, under the EU-funded PLASTICS project. CSF has been working as a collaborator to BSL on the green finance pillar of this work, under a broader MOU signed between the two organizations in 2023. This work is part of CSF’s research thematic of ‘Nature and the Economy’ and its Natural Capital Forum advocacy initiative. During the session, we heard from an interdisciplinary group including the financial sector regulator, multilateral and bilateral development partners, and banks and non-bank financial institutions. The forum provided an opportunity to discuss the current work being done by these entities, and flag some of the challenges faced. The focus was primarily towards helping financial institutions understand where, and from whom, funding as well as technical assistance for green financing is available and forthcoming, and also to help development partners understand what the current landscape is and what more they can do to support this area.
The Note is organized along key themes that emerged from the discussion, and an attempt to provide a useful and incisive summary of issues. Towards the end of the Note, we provide some of CSF’s own views and observations, as well as pose a set of seven key messages for financial institutions.
