The financial system as an accelerator for the circular economy

Finance plays a critical role in allocating capital to projects and initiatives that accelerate the transition to a low-carbon circular economy. However, the relative novelty and complexity of the circular economy as a topic means that there is considerable difficulty in identifying and differentiating high-potential projects. In the absence of global standards for circular economy investing, financiers have been required to develop their own approaches. As such, the landscape of circular finance is scattered and misaligned - financiers struggle to find suitable investments in the circular economy, while businesses are unable to effectively communicate their own developments in circularity.

In order to address this unique problem, the Circle Economy Finance Programme engages in distinctly collaborative approaches to improving the allocation of capital to the circular economy. Our projects focus on knowledge sharing and exchange, and a belief that greater harmonisation will be key to unlocking the potential of the financial sector in the circular economy.