Prime Minister Saara Kuugongelwa-Amadhila has highlighted the necessity of a robust regulatory framework concerning sustainable finance laws and regulations in Namibia.
This framework would promote responsible investment, cognizant of environmental, social, and governance factors.
The Prime Minister made this call during the United Nations Environment Programme-Finance Initiative (UNEP-FI) Regional Roundtable for Africa and the Middle East, which took place in Windhoek.
Kuugongelwa-Amadhila stated that by embracing sustainable financing, Namibia has the potential to become a leading example of sustainability in the areas of environment, social, and government on a global scale.
"Our policies should promote green and sustainable laws such as renewable energy, efficient resource management, and sustainable agriculture. To achieve this, we need a robust regulatory framework for sustainable finance and laws and regulations encouraging responsible investment practises."
She also emphasised the need for environmentally friendly projects as well as transparency and accountability in financial transactions to support economic development.
"We must acknowledge the importance of financial incentives. Encouraging and rewarding sustainable investment will attract capital flow into projects and align with our sustainability goals. By creating favourable conditions for investors, we will stimulate economic growth, generate employment, and ensure the long-term well-being of our people."
On the occasion, the Deputy Minister of Finance and Public Enterprises, Maureen Hinda, highlighted that despite the substantial demands for financing, particularly in public investment, there appears to be a significant supply of finance that is currently underutilised, particularly by the private sector.
"In 2020, global financial assets grew to U$ 469 trillion at the same time that the SDG financing gap in developing countries was U$ 3.9 trillion, of which part was towards ESG. This shows that there is adequate global finance for ESG, but what is missing is a global synchronisation effort to align available capita with ESG aligned with national priorities."
Also speaking at the occasion was the Deputy Head of UNEP, FI Liesel van Ast.
"The challenges in achieving the SDGs are immense, with many countries growing debt burdens. Purposes to reform the global financial architecture include more effectively leveraging these SDGs, including goals to address poverty, equality, and limit and adapt to climate change. So, private financing is going to have an increasingly important role in helping to achieve the SDGs."