Plan to promote growth in sustainable finance

The roadmap was developed by Finance Isle of Man

A two year action plan to encourage the Isle of Man's finance sector to move towards climate-related initiatives and investments has been developed.

The Sustainable Finance Roadmap aims to direct capital towards investments that take environmental and social factors into account.

The plan sets out a number of actions which include promoting upskilling in the area and reviewing the current regulatory, legislative and policy framework.

Michael Crowe of the Department for Enterprise's Finance Isle of Man agency said the document would enable the sector to "take advantage" of new opportunities as markets develop.

He said the plan would also help the island deliver on its own sustainability commitments.

'Useful tool'

The plan outlines areas of opportunity for financial service firms to develop new products, such as attracting investment to support marine ecosystems.

It was created by a steering group that included representatives from government, the Financial Services Authority and the finance sector.

Chairman of the sustainable finance steering group Greg Easton said members had thought "long and hard" about whether the roadmap was appropriate but changes to the sector would be gradual.

The document also outlines aims to develop a sustainable product labelling framework, improve transparency, embed nature-related financial risks into firms' systems, tackle greenwashing and promote the island as a nature finance hub.

Working groups would now be created to undertake the plans outlined, focusing on issues including regulation and upskilling.

Head of banking and fiduciaries at Finance Isle of Man Paul Blake said it was a "critical step" towards defining the island's role in the global sustainable finance landscape.

Enterprise Minister Tim Johnston added that he hoped the document would be received by the sector as a "useful tool" to help navigate the "rapidly evolving global market".