Accra, April 28, GNA – The IFC, a private sector-focused development institution of the World Bank Group, in partnership with the Swiss State Secretariat for Economic Affairs (SECO), has launched an environmental, social, and governance (ESG) practices programme for Ghana.
The programme is to help the country’s banks and businesses to strengthen their environmental, social, and governance practices with tools to better address and assess risks and improve their sustainability and long-term performance, a press release issued to the Ghana News Agency, said Thursday.
Through the Integrated ESG (IESG) programme for Ghana, IFC and the Bank of Ghana (BoG), wouldhelp the banks implement the Ghana’s seven Sustainable Banking Principles and incorporate them across their operations, the release said.
Launched in 2019, the Sustainable Banking Principles were designed to help financial institutions respond to risks, increase transparency, and promote sustainability.
Under the programme, IFC would also work with selected businesses in the manufacturing, services, and other sectors in the country, and help them address environmental, social, and other risks, and capitalise on new growth areas, such as environmentally friendly – or ‘green’ – buildings.
“Implementing strong ESG practices is of increasing importance to businesses around the world, which are facing fast-evolving challenges and opportunities, including climate change, social issues, and increased investor scrutiny,” it said.
SECO funds IFC’s ESG advisory work, among other initiatives, in Ghana to support financial sector development in the country.
“Strong ESG practices are essential building blocks for sustainable, growing economies, especially today as businesses are beset with a growing number of challenges—and opportunities,” said Kyle Kelhofer, IFC’s Senior Country Manager for Benin, Ghana, Guinea, and Togo, according to the release.
He added that: “IFC’s work with the Bank of Ghana, and with businesses in the country, will help them navigate these challenges by applying globally-recognised ESG strategies.”
“Switzerland is committed to supporting Ghana on its journey towards more sustainability including in its financial sector,” said Dr Simone Haeberli, SECO’s Deputy Head of Mission and Head of Cooperation in Ghana.
“We are proud to have been part of the development of the Sustainable Banking Principles and look forward to working closely with our Ghanaian partners to deepen the ESG practices within the financial and real sectors,” Dr Haeberli said.
The IESG programme builds on two previous partnerships between IFC and SECO in collaboration with BoG, Chartered Institute of Bankers, Environmental Protection Agency (EPA), Institute of Directors.
All Ghanaian banks have committed to implementing the principles, underscoring their commitment to improved corporate governance.
Since the adoption of the Sustainable Banking Principles, the Ghana Stock Exchange and other institutions in Ghana have developed or adopted ESG standards.
GNA