Arab Green & Sustainable Finance Network (AgreFin).
The Arab Monetary Fund (AMF) places great importance on green and sustainable finance and the achievement of the Sustainable Development Goals (SDGs). This focus aligns with growing global attention to climate issues, green and sustainable finance, and carbon emissions management to address and mitigate climate change risks. Alongside preparing studies and guidelines and organizing training courses, workshops, and events, the Fund launched the Arab Green & Sustainable Finance Network (AGREFIN) in January 2023 to promote dialogue, coordination, knowledge sharing, and the exchange of experiences among Arab countries. The Network meets through periodic workshops.
Overview of the Arab Green and Sustainable Finance Network
AGREFIN is an initiative and platform for exchanging experiences and expertise, sharing knowledge, and coordinating on sustainable finance issues. It helps members keep pace with developments in green and sustainable financial activities, services, and products, while raising awareness of sustainable finance and climate risk management. The Network brings together senior officials from ministries of finance, central banks, and capital market authorities, alongside experts from international partner institutions such as the International Monetary Fund, the World Bank, and the Bank for International Settlements.
The ultimate objective of AGREFIN is to strengthen the financial system's role in managing climate change risks, mobilizing finance for green, low-carbon investments, and supporting the circular carbon economy to improve energy security within the context of the SDGs, as well as puts together the positions of Arab countries in international initiatives relating to climate change and energy security.
AGREFIN’S Secretariat
The AMF serves as the technical secretariat for the AGREFIN, as part of its role within both Councils of Arab Central Banks’ Governors and Arab Finance Ministers. The AMF conducts network meetings and works with the network's work team to develop working papers and studies. These contributions are made during the annual meetings of the Boards of Governors of Central Banks.
Through this network, the AMF actively supports Arab countries' continued attempts to incorporate sustainability into their financial systems. It helps to design policies that address the issues of climate change, promote green and sustainable financing, manage climate change risks, and facilitate the transition to a circular carbon economy (CCE) and enhancing the energy security.
Promoting Sustainable Finance Policies
including working with policymakers, regulators, and stakeholders to promote the implementation of sustainable finance rules and practices.
Promoting Sustainable Finance Practices
by raising awareness, providing training programs, and advocating for regulations that support them.
Carrying out Studies and Research
on sustainable financial practices in the Arab world, highlighting good practices, trends, and challenges and provides policy recommendations for enhancing these practices.
Leveraging partnerships and global expertise to promote Green Finance practices
working with other organizations that enable the exchange of knowledge and expertise, resulting in cooperative activities that promote sustainable finance.
Promoting Sustainable Finance Policies
including working with policymakers, regulators, and stakeholders to promote the implementation of sustainable finance rules and practices.
Leveraging partnerships and global expertise to promote Green Finance practices
working with other organizations that enable the exchange of knowledge and expertise, resulting in cooperative activities that promote sustainable finance.
Developing Partnerships
AGREFIN seeks to develop partnerships with organizations that promote sustainable finance in the Arab region. These partnerships support knowledge and expertise sharing and can lead to joint initiatives that advance sustainable finance.
Monitoring and Evaluating Progress
AGREFIN seeks to monitor and evaluate progress in promoting sustainable finance practices in the Arab region. This includes defining performance measures, tracking progress over time, and using the findings to adjust its activities and assess progress towards its objectives.
Targeted Activities in Green and Sustainable Finance
AGREFIN intends to engage in a variety of AMF initiatives and working groups within this framework. The following are a tentative list of key activities to be performed by the network:
Arab Green Finance Events
Organizing high-level meetings and events, such as Arab Green Finance Day, recognizing leading efforts in Arab countries, and acknowledging outstanding performance in green financial instruments.
Green Finance Data Platform
Creating a green finance database under the ARABSTAT initiative.
Sustainable Finance Infrastructure
Strengthening sustainable finance infrastructure across Arab countries.
Green Finance Index
Developing a regional index for green and sustainable finance.
Research and Publications
Publishing working papers and studies on green and sustainable finance.
Green Investment Framework
Strengthening frameworks for green investments, bonds, Sukuk, and insurance.
Islamic Green Finance
Promoting the role of Islamic finance in supporting green and sustainable financial instruments.
Guidelines and Standards
Developing regional guidelines and concepts for green and sustainable finance.
Annual Climate Report
Publishing an annual report or policy brief on climate-related developments and Arab countries’ initiatives in this area.