Central Bank of Sri Lanka Launched the Sri Lanka Green Finance Taxonomy

The Sri Lanka Green Finance Taxonomy is a classification system, which defines and categorizes economic activities that are environmentally sustainable, and is a key action item outlined in the Roadmap for Sustainable Finance of Sri Lanka introduced by the Central Bank in 2019.

The Taxonomy has been prepared in line with the international best practices, while harmonizing for local context, hence it is expected to enable financial market participants to raise low-cost funding for green activities through both domestic and foreign markets.

The Sri Lanka Green Finance Taxonomy would be applicable to all domestic and foreign market participants offering financial products (such as bank lending, debt instruments, portfolio management, and investment funds), large corporations, as well as national and local government bodies.

It can also be used as a reference by the industrial planning authorities and served as the basis for local governments to support green industries covering a range of economic activities such as Forest and Logging, Agriculture, Manufacturing, Electric power generation, Transmission and distribution, Gas, steam and air conditioning supply, Water supply, sewerage and waste management, Construction, Transportation and storage, Financial services and Tourism and recreation.

( Information from news.lk was used in this report. To Read More, click here )

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