Identify and highlight sustainable projects around the world to better finance them: investors and financial institutions launched a new label on Tuesday, called “
SI Label
”, in order to fill the infrastructure investment gap.
The Sustainable Infrastructure Label aims to "
reduce transaction costs
" for investing in projects, according to the press release published on the website of the Climate Policy Initiative (CPI) think tank, stakeholder in the project, with in particular the OECD, the World Bank, HSBC Bank and the Global Infrastructure Facility (GIF), a platform created by G20 member countries.
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This new label is supposed to facilitate "
due diligence processes
" (in-depth audits on projects), as well as fundraising for sustainable infrastructure projects.
To be eligible, projects must in particular demonstrate that they reach a minimum level for each of the fourteen ESG (environmental, social and governance) and resilience criteria examined within this label.
According to the OECD, between $ 2.5 trillion and $ 3 trillion in infrastructure investments are lacking each year around the world to meet states' economic development goals by 2030.
