Tribune News Network
Doha
Governor of the Qatar Central Bank (QCB) Sheikh Bandar bin Mohammed bin Saoud Al Thani inaugurated the Arab Banking Conference 2024, hosted in Doha on September 10-11 under the theme “Sustainable Development Requirements & the Role of Banks.”
Organised by the Union of Arab Banks under the auspices of the QCB, the conference brings together regional and international banking leaders to discuss the crucial role of financial institutions in driving sustainable development and achieving long-term economic, social, and environmental goals.
In his keynote address, Sheikh Bandar underscored the significance of the conference in addressing the challenges of sustainable development, emphasising the need for collective efforts to shape a more resilient and prosperous global community.
He highlighted the extraordinary advancements witnessed over the past two centuries, driven by scientific breakthroughs, technological innovations, industrial revolutions, and unprecedented developments in healthcare, all of which have significantly improved the quality of life worldwide. He noted that global per capita GDP has increased more than tenfold over the past two hundred years, marking a period of remarkable progress.
Despite these achievements, the Governor acknowledged that this unprecedented growth has also led to significant environmental challenges, including discernible climatic changes that impact daily lives.
“While the global community strives to make substantive progress toward the 2030 sustainable development goals, we face ongoing challenges that could hinder the attainment of these objectives and potentially stifle global economic growth,” he stated. Sheikh Bandar stressed the importance of finding a harmonious balance between economic growth and sustainability, describing them as two fundamental sides of the same equation.
The Governor called for responsible actions to achieve this balance, including implementing effective mechanisms and leveraging cutting-edge technology to mitigate carbon emissions. He also advocated for increased investments in sustainable projects that not only drive economic growth but also contribute to environmental protection and social well-being.
Addressing the critical role of banks in fostering sustainable development, Sheikh Bandar praised the banking sector’s historic and ongoing contributions to financing the economy and supporting development initiatives. He highlighted that banks are uniquely positioned to enhance long-term economic, social, and environmental well-being by channeling resources into projects that are economically viable and have a positive impact on development.
“Banks have historically played a crucial role in financing the economy, and they are uniquely positioned to enhance long-term economic, social, and environmental well-being,” he said.
He pointed out the potential for growth through the issuance of sustainable financial products, such as green bonds, and the application of financial technology (fintech) to meet broader sustainability goals. By investing in sustainable finance, banks can help bridge the gap between economic growth and environmental stewardship, supporting projects that deliver both financial returns and positive socialimpacts.
Sheikh Bandar emphasised that banks, as key partners in development, must adopt practices aligned with sustainable growth requirements. This includes considering the impact of environmental, social, and governance (ESG) factors in their internal capital and liquidity assessment frameworks, ensuring that their operations support broader sustainability objectives.
The governor also addressed the challenges to achieving sustainability goals, which are centered around the availability of high-quality data, the establishment of effective frameworks, and the level of stakeholder support.
He stressed the importance of regulatory bodies in creating an enabling environment to facilitate the transition to a sustainable economy. He highlighted Qatar’s commendable progress in this domain, reflecting its commitment to advancing ESG and sustainability within the financial sector.
In line with these efforts, the Qatar Central Bank recently launched the “ESG & Sustainability Strategy and Principles for the Financial Sector,” built on three pillars: managing climate, environmental, and social risks within the financial sector; encouraging capital investments in sustainable finance; and incorporating ESG and sustainability practices into the Bank’s internal operations. These initiatives reflect Qatar’s proactive approach to promoting sustainability in its financial ecosystem.
Concluding his speech, . Sheikh Bandar called for a unified effort to achieve the sustainable development goals, reaffirming the collective commitment to building a more resilient and prosperous future. He stressed that sustainable development remains a steadfast and collective aim, requiring cooperation from all sectors, including governments, financial institutions, and the broader business community.
The Arab Banking Conference 2024 serves as a platform to address these critical issues, fostering dialogue and collaboration among key stakeholders to drive sustainable development forward. The event highlights the vital role of banks in achieving these goals and underscores the importance of innovative financial solutions in meeting the world’s sustainability challenges.
