Copenhagen Tops List as Green Finance Centre
Copenhagen is third on a list of the top green finance centres. The Global Green Finance Index compares the green initiatives of different finance centres. The placing comes as no surprise to the Innovation Director of Copenhagen Fintech Lab, which is experiencing growing interest in this area.
Copenhagen occupies an impressive third place as a green finance centre in terms of the ‘depth’ of green investments, beaten only by Amsterdam and Luxembourg. The list of qualitative green investments puts London at the top, followed by Amsterdam and Zürich, with Copenhagen taking fifth place.
These are the results of the latest statistics compiled by the Global Green Finance Index, an initiative that compares and ranks the quality and depth of green solutions from 67 major finance centres around the world. Copenhagen’s placing comes as no surprise to the Innovation Director of Copenhagen Fintech Lab, which is experiencing growing interest in green solutions.
“Interest in green investment is on the increase. Holland, Luxembourg and Denmark are major pensions and wealth management countries, and I can well imagine that would be part of the explanation for Denmark’s top ranking with regard to the depth of green investment. It's an expression of the movement and desire to prioritise and place our private funds in green investments. Copenhagen's placing therefore makes a lot of sense,” says Simon Schou, Innovation Director at Copenhagen Fintech Lab.
Major interest in Danish solutions
Copenhagen Fintech Lab houses over 100 entrepreneurs, and is experiencing growing interest in green solutions amongst entrepreneurs and investors.
“We’re experiencing massive growth in green solutions, and in interest in Danish solutions. We’d like to see even more. We’re focusing heavily on this area, and working with getting sustainable solutions out there, especially in South East Asia, where there is enormous demand,” adds Schou.
One of the focus areas during Fintech Week in the autumn, hosted by Copenhagen Fintech Lab, was green and sustainable solutions.
Facts on the quality and depth of green investments
The Global Green Finance Index (GGFI) determines the depth of green investments based on how green the overall financial services offered by a finance centre are, whilst the quality of green investments concerns the quality of a finance centre’s green financing services and consultancy received by customers in relation to green financing products and options, regardless of how much green financing takes place in that centre.
Find the latest ranking in terms of the depth and quality of green solutions in global finance centres in the GGFI’s latest report here.
What is a green investment?
The Global Green Finance Index (GGFI) defines “Green Finance” as any financial instrument or activity within financial services that results in positive changes for the environment and society in the long-term (sustainability).
The most basic criterion for an undertaking or a project to be regarded as “green” is that it contributes to the reduction of greenhouse gas emissions.