The invisible cost of nature

Shinbo Won, Director, Investment Stewardship, agrees businesses “have to be focused on sustainability”.

“It strengthens our view that a lot of the research out there supports sustainability,” he says. “[Research shows] the efforts these companies are making toward sustainability ultimately lead to better financial performance.”

Bankers are seeing the same impetus: ANZ Head of Sustainable Finance, Katharine Tapley, says she has noted a stark shift in dialogue when dealing with clients and investors.

“Investors are increasingly asking their companies that they invest in to demonstrate how it is that they are transitioning to a low carbon economy, transitioning to a more sustainable economy,” she says.

“From both ends of the spectrum we're seeing this become a very key driver.”

Sunil Gupta, Head of Renewables at Sembcorp Industries, a fourth panellist, said businesses around the world are starting to take notice. Some financial institutions are simply refusing to provide debt for fossil-fuel related projects.

“It's not just a matter of what we want to do from sustainability,” he says. “Our stakeholders are telling us they're not going to be our partners.”

Shane White is Content Manager, Institutional at ANZ

This article was originally published on ANZ’s Institutional website.