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#sustainablefinance

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How can we redirect financial flows towards a sustainable, climate-friendly economy? 💶 🌍

The policy brief “Financing the green transition”, published as part of a research project by Witten/Herdecke University and the Institute for Ecological Economy Research (IÖW) – funded by the Federal Ministry of Research, Technology and Space (BMFTR) – addresses this question.

More information: ioew.de/en/news/article/green-

Continued thread

Our current solution to the conundrum is to ramp up accounting and reporting of environmental and social impact.

This is not a trivial step, nor is it automatically #greenwashing. Formally recognizing an issue as something to be measured is part of the socioeconomic transformation process.

But for as long as there is a dichotomy between "financial" (monetary) objectives and sustainability objectives we are but in phase 1

#sustainablefinance requires that we reinvent the financial system

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For #sustainablefinance to really succeed it must become the only kind of financial system that is possible.

For as long as #sustainability is a discretionary objective that relies on people's awareness of their behavior impact and moral disposition (towards other people and future generations) its going to be a losing game.

Not because we are intrinsically evil / stupid, but because its not a viable expectation from individuals in an overcomplex, interconnected, decentralized economy.

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