Guernsey is looking to position itself as the go to jurisdiction for green financial services with a focus on green investment.
The Guernsey Financial Services Commission (GFSC) is poised to launch a new regulatory initiative known as the Guernsey Green Fund.
Compliance with green criteria will be required and it will be open to all types of funds. The Commission expects to issue a consultation paper next month launch the Green Fund initiative by the middle of the year.
Guernsey Finance acting director of strategy, Dr Andy Sloan, said that the ambition was to develop the broadest and best range of product with a green focus among international finance centres, incorporating investment, securities and insurance markets and services.
GFSC also plans to work with the global insurance industry to enable long-term green investments to be taken on as assets to meet long-term life insurance liabilities, making it easier for insurance companies to offer sustainable long-term returns to policyholders, and to widen the pool of purchasers for green investments.
“The potential for green and sustainable finance is enormous and streams into major global initiatives,” Dr Sloan said. “Action in this area builds on Guernsey’s strengths and expertise in private equity and infrastructure, supports other initiatives in areas such as impact investing, and supports a general repositioning of the island’s financial services offer.”
Dr Sloan said that a Guernsey industry strategy group would be looking to work with global organisations and standard setters to foster international co-operation on green finance development, particularly looking at infrastructure services.