The recent international consensus is that integrating environmental, social and governance (ESG) considerations into financial decision-making will lead to increased investment in longer-term and sustainable activities. Sustainable finance takes into account ESG considerations in the process of financial decision-making, aiming towards a financial system that supports sustainable growth. Environmental considerations refer to climate change mitigation and adaptation, as well as related risks, such as natural disasters. Social considerations include issues such as inequality, inclusiveness and labour relations. Governance refers to the management of public and private institutions, covering employee relations and executive remuneration.
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