Transition Finance & SLBs – Driving Sustainable Growth

Transition finance channels capital to companies and projects that are actively reducing greenhouse gas emissions and building credible pathways to net zero, ensuring investments support real-world decarbonization. Core frameworks include the Science Based Targets initiative (SBTi) for validating targets, the European Union Taxonomy for activity screening, and the IFRS Sustainability Disclosure Standards S1 and S2 for investor-grade reporting. Sustainability-linked bonds (SLBs) provide financing by linking an issuer's cost of capital to measurable sustainability performance targets.