Pakistan introduces initiative to help financial sector seize opportunities in green finance

The fellowship marks a major milestone in aligning Pakistan’s financial architecture with international climate commitments
 

Pakistan to equip financial sector to work in green finance

Pakistan has introduced the Paris-Aligned Finance Fellowship, a pioneering initiative designed to equip the country’s financial sector with the tools and knowledge to address climate-related risks and seize emerging opportunities in green finance.

The Fellowship—funded by the German Federal Ministry for Economic Cooperation and Development (BMZ) and implemented by GIZ Pakistan in partnership with the State Bank of Pakistan (SBP)—marks a major milestone in aligning Pakistan’s financial architecture with international climate commitments.

 

Read More     Pakistan’s foreign reserves get $500m boost from ADB to enhance climate resilience


Bringing together 50 senior professionals from the SBP, commercial banks, development finance institutions, and other regulatory bodies, the program focuses on strengthening institutional capacity in sustainable finance. Its goal is to channel more investment toward clean energy, climate-resilient infrastructure, and green exports, thereby enhancing both economic stability and global competitiveness.

“Enhancing the financial sector’s capacity to address climate risks is vital for sustainable growth. The State Bank of Pakistan is proud to support this strategic initiative,” said Mr. Maraj Mahmood, Managing Director, BSC, at the SBP.

The Fellowship also responds to shifting global trade and investment norms that increasingly prioritize low-carbon operations and sustainability standards. Participants will learn to integrate climate and environmental factors into lending, investment, and risk management frameworks—helping financial institutions future-proof their operations and support businesses in adapting to the green transition.

 

Read More     Governor SBP urges banks to promote climate-resilient agri-financing


“This Fellowship will help Pakistan’s banks unlock new opportunities for climate-smart investment while strengthening risk management,” said Ms. Maria-Jose Poddey, Country Director of GIZ Pakistan. “It’s about preparing the financial sector for the future of global finance.”

Launching on October 13, 2025, the Fellowship features a Foundation Track in Karachi followed by an Expert Track in Germany. The curriculum covers key topics including climate risk management, climate stress testing, transition finance, and sustainability reporting.

A major outcome of the initiative will be the creation of a Community of Practice within Pakistan’s financial ecosystem to foster continuous knowledge exchange on climate finance. Over time, the program is expected to embed sustainable principles across the banking sector, mobilizing long-term investment for climate resilience and sustainable growth.

Source: Profit Pakistan

Post a Comment

Previous Post Next Post