The EU Taxonomy in Place – A Milestone On Financing Sustainable Growth

This commentary focuses on the adoption of the EU Taxonomy, which marks a major development in sustainable finance and another step in the European Union’s goal to achieve its climate targets. A key part of the European Commission’s Renewed Sustainable Finance Strategy and Action Plan on Financing Sustainable Growth is the EU Taxonomy. By clearly defining what environmentally sustainable economic activities are, the EU Taxonomy aims to be a key tool for sustainable investment decisions. We view the adoption of the EU Taxonomy as a positive development in sustainable finance and in incentivising sustainable investment.