Jersey Finance has this week launched a sustainable finance strategy – part of a report that makes the case for the island's finance sector to support the transition to a more sustainable future.
The report – Jersey for Good: a Sustainable Future – sets out objectives for where Jersey intends to be by 2030 and an initial two-year pathway to deliver on those objectives.
The report, strategy and pathway are the result of work commissioned by Jersey Finance and undertaken over the past year by Andrew Mitchell, CEO, and his team at Equilibrium Futures, a consultancy now based in Jersey.
According to Deutsche Bank, ESG assets are likely to increase to more than $100trn by 2028. The Jersey for Good... report suggests that while Jersey has built its reputation on governance, expertise and the ability to transact efficiently, it must now respond to the risks and opportunities of emerging regulation and reporting on sustainability, along with increasing evidence of the profitability of ESG funds.
The vision for Jersey – that by 2030 "Jersey will be recognised by its clients, key stakeholders and other partners as the leading sustainable international finance centre in the markets it serves" – makes several recommendations:
• Build strong stakeholder partnerships: so that each sector within Jersey’s finance industry has the tools to integrate sustainability within a joined-up policy framework
• Green finance on a green island: greater collaboration between the finance industry, the Jersey Financial Services Commission, Government of Jersey and the people of Jersey on sustainability issues
• Improve perception and credibility: measure performance against independent frameworks to reinforce Jersey’s reputation as a good global actor
• Increase capacity: upskill across the board to prepare for and take advantage of global trends in ESG and sustainable finance.
The report's two-year Pathway to Success suggests short-term and longer-term actions, including establishing a steering group to bring together key stakeholders; greater participation in external bodies and forums; enhancing access to specific training; encouraging product innovation; and creating an enabling regulatory environment.
Jersey Finance CEO Joe Moynihan (pictured) said: “This report sets out an ambitious vision that should inspire us. And with a detailed plan to guide us, I’m certain we can capitalise on Jersey’s strengths as we work together to support the growth of sustainable finance and its contribution to environmental and social change.”
Further information about the report, vision and strategy can be found here