As the stewards of trillions of dollars in corporate finance, Chief Financial Officers (CFOs) have a critical role to play in ensuring that companies’ financial strategies are aligned to the Sustainable Development Goals (SDGs). The UN Global Compact is convening a taskforce of CFOs for 24 months to provide a platform to interact with their peers, investors, financial institutions, and the United Nations to share ideas, develop new concepts and frameworks, and provide recommendations to unlock private capital and create a market to mainstream SDG investments.
CFO Taskforce for the SDGs
As corporate sustainability initiatives increasingly become part of core business strategy, leaders are rethinking the future of corporate finance and corporate investments to advance social good. The United Nations Global Compact provides the guidance and resources finance executives need to transform their business models and incorporate the Sustainable Development Goals (SDGs) — a move that can open up US$12 trillion in market opportunities.
Scaling SDG Finance for the Sustainable Development Goals
This guide explores the role of corporate finance and investments in scaling finance for the Sustainable Development Goals, including how FDI, financial intermediation and public-private partnerships can be a source of finance for less liquid SDG investments that cannot be invested directly by portfolio or institutional investors. This includes providing access to finance in countries with less developed financial markets or for SDG solutions that are too small or illiquid to attract portfolio investors.
SDG Bonds | Leveraging Capital Markets for the SDGs
This guide explores the role of the bond market – the largest asset class in the global financial markets – in the realization of the Sustainable Development Goals (SDGs). With US$ 6.7 trillion of annual issuance, bonds can provide a cheap, reliable and scalable source of capital for a variety of stakeholders involved in the implementation of Agenda 2030, including companies, governments, cities and public-private partnerships. SDG bonds also provide an answer to the lack of SDG investment opportunities for institutional investors. A diverse portfolio of SDG Bonds, including sovereign, municipal, corporate and project bonds across developed and emerging markets could fulfill mainstream investors’ growing demand for impact while matching their risk-return appetite.
Corporate Finance | A Roadmap to Mainstream SDG Investments
Investors, Governments and other stakeholders are increasingly demanding that companies demonstrate sustainable strategies aligned with the SDGs. This report provides guidance to companies looking to integrate the SDGs into their financial strategy and business model. A credible SDG strategy allows companies to clearly communicate impact, facilitate easier access to the growing market for SDG financing, and connect investors with a pipeline of potential opportunities to address the SDG investment gap.