Banks in India have requested incentives from the Reserve Bank of India (RBI) and the Centre for sustainability-linked loans. They are seeking relaxed norms on risk-weighted assets (RWA) and cash reserve ratio (CRR) for such loans. Sustainability-linked loans have interest rates connected to a company’s sustainability performance. Discussions are ongoing on green financing models and their adoption by banks.
Finance Minister Nirmala Sitharaman urges the private sector to support the Sustainable Development Goals (SDGs) and emphasizes the collective responsibility of all stakeholders. She expresses confidence in the MDB reform process emerging from G20 deliberations to encourage investments in developing nations. The article also mentions India’s call for G20 members to implement the 2030 Agenda and accelerate progress towards the SDGs. It highlights the financing gap and the need for global cooperation and innovative financing approaches.
