The road to recovery from the economic impacts of COVID-19 will not be quick or easy. The current crisis, however, is also an opportunity to direct large-scale investment towards creating a sustainable European economy. Short-term economic relief measures must not mean financing longer-term risk and inequality. For ambitious financial reforms to be achievable and sustainable they must be fair and inclusive; their long-term success will be dependent on Europe’s ability to guide international standards. Reforms must address public as well as private finance norms, including institutional architecture and governance.
This report aims to set out a vision for the future of sustainable finance in Europe and makes specific recommendations for action by European institutions within the next two years. It is published in the context of the upcoming Renewed Strategy for Sustainable Finance but is also relevant to other European policy frameworks.