22nd October 2024, Kathmandu
Nepal Rastra Bank (NRB) has officially released the Green Finance Taxonomy 2024, a pivotal document for stakeholders in Nepal’s financial ecosystem.
Nepal Rastra Bank Releases Green Finance
The taxonomy is designed to serve as a standardized framework for classifying environmentally sustainable activities, thereby enhancing the country’s sustainable finance efforts. It is expected to attract capital aligned with green and Environmental, Social, and Governance (ESG) principles.
This guiding document will be crucial for Class A, B, C, and D financial institutions, including the Infrastructure Development Bank, providing a clear reference for the disbursement of loans and other forms of financing. The taxonomy is aimed at supporting banks, investors, issuers, private sector entities, and regulators in making informed decisions that align with sustainable development goals.
With this initiative, Nepal takes a significant step towards fostering a greener economy by encouraging environmentally responsible investments and financial activities.
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