More sustainability, less greenwashing
The transformation of the financial system is an essential prerequisite for the transition to more climate protection and a sustainable use of global resources. Greenpeace Luxembourg has addressed Luxembourg politicians in an open letter and made clear demands.
"The complete transparency of organic products along the entire value chain is a top priority for me. The same applies to the financial sector, which must be truly sustainable. We cannot afford to engage in greenwashing".
As the world's second most important player in the finance and investment sector, with more than 5 trillion euros in funds placed, Luxembourg plays a leading role when it comes to making investments sustainable and not falling prey to greenwashing. The problem is imminent:
According to a study by Greenpeace, the so-called sustainable funds hardly attract more money into sustainable companies than conventional funds; the Luxembourg Sustainable Finance Strategy is not comprehensive enough.
Greenpeace Luxembourg therefore addressed the members of the Luxembourg government and parliament in an open letter on 22 March 2022 and defined the "road to go" for a sustainable financial centre in Luxembourg with three concrete demands.
In the spirit of the Paris Climate Agreement to limit global warming to 1.5° by 2030, national leaders should:
1. set clear criteria for investment products labelled as sustainable;
2. gradually reduce investments in fossil energy companies;
3. introduce full transparency of financial products in terms of their environmental and social impacts.
Aender Schanck and Patrick Kolbusch co-signed the open letter as two of a total of nine experts and submitted their demands as a statement.
"Just as agriculture is responsible for managing the land that will feed citizens in the long term, the financial sector is responsible for investing in tomorrow's projects. So it is up to civil society, politics and entrepreneurship to reconcile the minimum standards for a sustainable economy."
The full letter and the possibility to sign the petition can be found at the following link.