On Tuesday, 26th November 2024, Biodiversity Sri Lanka (BSL) hosted a strategic briefing at Cinnamon Life, Colombo, under the EU-funded SWITCH Asia PLASTICS Project. This initiative, led by ACTED in partnership with BSL, ISB, STENUM Asia, and TERI, focuses on reducing plastic waste and promoting a circular economy in Sri Lanka.
The event was a major milestone, bringing together representatives from 32 organisations, including CEOs of leading financial institutions. Its aim was to explore the role of green financial services in fostering sustainable business practices and resilience within Sri Lanka’s economy.
In his opening address, Mr. Dilhan C. Fernando, Chairperson of Dilmah Ceylon Tea Company and Chairman of BSL, stressed the importance of green finance in building a resource-efficient, low-carbon economy. He stressed the need for Sri Lankan financial institutions to understand global financial flows and find innovative ways to tap into them.
Central Bank Governor, Dr. P. Nandalal Weerasinghe, provided insights into the role of the Central Bank of Sri Lanka in fostering green financial ecosystems and informed the participants that, CBSL was in the process of developing the green taxonomy and sustainable finance roadmap. He underscored the urgency of transitioning to green finance given Sri Lanka’s environmental vulnerabilities and escalating global challenges.
The programme highlighted the European Union’s Global Gateway strategy, which aligns economic growth with sustainability goals by leveraging green financial tools. Dr. Johann Hesse, Head of Cooperation at the EU Delegation to Sri Lanka, further emphasised the EU’s commitment to a green economic recovery, focusing on mobilising resources for transformative sustainable initiatives.
Co-founder/Director, Centre for a Smart Future
Mr. Anushka Wijesinha presented findings from the 2024 Green Finance Maturity Assessment (GFMA), outlining key opportunities and gaps in Sri Lanka’s financial sector to advance green initiatives. A key finding from the GFMA is that while green finance opportunities are growing – including funding lines for financial institutions and new lending opportunities for green projects – there remains a lack of comprehensive understanding within the market. Many financial institutions are unsure about their relative performance or where they stand in adopting green finance compared to industry benchmarks. This highlights an urgent need for capacity building and awareness among financial institutions, enabling them to better position themselves to leverage emerging opportunities and contribute to sustainable economic development.
The PLASTICS Project’s Green Finance component focuses on improving access to funding for SMEs to drive circular economy initiatives. BSL’s Green Finance Specialist, Mr Errol Abeyratne, noted, “Green finance is crucial for a sustainable future, but gaps in knowledge and reporting frameworks hinder progress.” The project addresses these barriers through initiatives like a digital toolkit and a practitioners’ forum, empowering businesses and financial institutions to embrace sustainability.
The event concluded with engaging discussions on actionable strategies to promote green financial solutions, empowering institutions to lead in sustainable economic transformation. This strategic briefing reinforced the PLASTICS Project’s role in driving private sector engagement and advancing circular economy principles as key enablers for environmental stewardship.
