The Isle of Man has set its sights on becoming the "leading jurisdiction for responsible investment and green financial initiatives" with the launch of its Sustainable Finance Roadmap.
In a statement on 6 November, the island crown dependency said that by partnering with ISFCOE, it is "actively fostering collaboration with one of the leading sustainable finance hubs in the region". Pictured above is Paul Blake FCMI, head of banking and fiduciaries, Finance Isle of Man.
The partnership would demonstrate its intention to work across borders, sharing resources and expertise to tackle common goals in sustainable finance and climate action. By developing the Island’s sustainable finance offering, the Isle of Man "will act as a conduit for regional investment, acting as a bridge to attract and channel green investment across the British and Celtic Isles".
Developed with support from "world-leading sustainable finance experts" at Ireland’s International Sustainable Finance Centre of Excellence (ISFCOE), the Roadmap is designed to bolster the Isle of Man’s position as a leading International Finance Centre, making sure that it is able to play a key role in offering and developing the next generation of sustainable finance products.
Comprising of 10 actions, the Sustainable Finance Roadmap outlines the how the Isle of Man will aim to become a leader in sustainable finance by 2026.
Key actions that will be delivered over the next 2 years include:
• Establishing the Isle of Man Sustainable Finance Initiative, a coordinating entity, which will raise awareness, promote and assist the Island’s financial sector and accelerate its transition towards increased sustainability
• Developing a sustainable investment product label framework for investment products, including managed funds within insurance and pension industries
• Establishing a 2-year sustainable finance capacity building programme that will support efforts across key financial services sectors, including Insurance (Life, General and Captives), Funds and Wealth Management, and Trust and Corporate Service Providers
• Becoming a full member of the UNDP Financial Centres for Sustainability (FC4S) Network by 2025
• Exploring the development of a financing instrument that can support the global network of UNESCO Biosphere projects
The Isle of Man further said it was uniquely positioned to lead in sustainable finance, leveraging its status as the only entire-nation UNESCO Biosphere reserve. As home to approximately 4,000 square kilometres of marine habitats and seabed, the Island was ideally located to support innovative financial instruments such as blue bonds, which aim to fund marine biodiversity and conservation projects, it said.
Further, leveraging the island’s status as an International Finance Centre and position in the Irish Sea, it can facilitate the capital raising and debt financing required for renewable technologies including offshore wind, positioning the Island as a leader in sustainable energy finance. With a strong emphasis on talent development, this Roadmap will look to position the Isle of Man as a living laboratory—a place where the mobilisation of capital and finance for net-zero, nature-positive, and socially just economic transitions can be modelled and advanced, both locally and globally.
The Roadmap was launched at a symposium event hosted on 5 November with the Minister for Enterprise Tim Johnston and Hannah Simons, Head of Sustainability at Lloyds Bank Corporate Markets. It was also supported in development by the Irish based International Sustainable Finance Centre of Excellence (ISFCOE).
Tim Johnston MHK, Minister for Enterprise, Isle of Man Government said: “Sustainable finance is a vital part of the global financial ecosystem, and its products and services play a critical role in providing the capital needed for countries and institutions to meet the sustainability goals set out under the Paris Agreement.
"Financial services represent around 48% of the Isle of Man’s economy, and we are determined to bolster our sustainable finance offering – aligning closely with the Island’s Economic Strategy”.
Michael Crowe, CEO at Finance Isle of Man, added: “Strengthening our offering in sustainable finance is an absolute ‘must-do’ initiative for the Isle of Man’s finance and professional services sector. The vision set out in the Roadmap will not only enable us to contribute to capital flows for sustainability purposes, but will also help to ensure that our proposition remains internationally competitive and relevant.
"Key market indicators predict increasing demand for sustainable finance products and services – and as a result of this initiative the Isle of Man will be ideally positioned for growth in this increasingly important sector.”
