The Belt and Road Initiative (BRI), which was adopted by the Chinese government in 2013, is the largest infrastructure programme the world has ever seen. It covers 72 countries and has total projected investments of US$8 trillion until 2049, with current annual investment of around US$150 billion.
The BRI offers both opportunities and risks for investors, for sustainable development, and for natural resources. Financial institutions have a key role to play to ensure that the many programmes and projects of the BRI are delivered in ways that invest in and enhance natural capital and ensure a net gain for the environment.
This report provides recommendations to the finance sector in three main areas:
- Integrating sustainability in infrastructure decisionmaking;
- Demonstrating the sustainable business opportunity; and
- Scaling up sustainable infrastructure.
It also proposes three sustainable investment principles for all infrastructure investments:
1. Only invest in sustainable infrastructure, in compliance with environmental regulations, best practice planning approaches, strong stakeholder involvement, transparency and monitoring of impacts (as defined below).
2. Aim to invest only in future-proofed environmentally friendly infrastructure.
3. Only invest in infrastructure outside or not negatively impacting natural habitats with a critical role for the ecosystem.