The new alliance aims to coordinate policies and practices at financial institutions, companies, regulators and policymakers toward the growth and protection of Africa’s natural resources
Nairobi: 8th June 2022
A group of leading financial institutions from across Africa has come together with Ghana’s Ministry of Environment, Science, Technology & Innovation (MESTI), and the UK-funded financial sector development agency FSD Africa as founding members of the African Natural Capital Alliance (ANCA).
The alliance, in partnership with the United Nations Economic Commission for Africa (UNECA), will act as an African-led collaborative forum for mobilizing the financial community’s response to nature-related risks and opportunities across the continent. The ultimate aim of ANCA is to help grow and protect Africa’s natural capital by shifting financial flows from destructive activities for short-term gain to long-term stewardship of nature for sustainable economic growth.
Among the founding members are Access Bank, the Development Bank of Southern Africa (DBSA), Ecobank, Equity Bank, FirstRand, Investec, Sanlam, Standard Chartered and Zanaco. FSD Africa is acting as coordinator for the alliance with global management consultancy Oliver Wyman acting as execution and knowledge partner. The Cambridge Institute for Sustainability Leadership (CISL) is also joining ANCA as a knowledge partner while initial support for the alliance is being provided by UNECA and the United Kingdom’s Department for Environment, Food & Rural Affairs (DEFRA).
ANCA is also working with the Taskforce on Nature-related Financial Disclosures (TNFD) to provide an African voice in the development of its ‘beta’ reporting framework for nature-related risk and opportunities and is taking part in TNFD’s pilot testing programme. Announcements about other members joining ANCA from the public and private sectors are expected over the next few months.
The reliance of African nations on their rich natural capital is both a source of vulnerability and competitive advantage. The case is clear for realigning investments to deliver a nature-positive future for Africa. To achieve this, we need financial institutions, companies, regulators, and policymakers working together.
Mark Napier, CEO – FSD Africa
ANCA members will be joining with other leading figures representing the finance and policy sectors on 23rd June 2022 at a landmark event to discuss why African leadership on nature will be critical to its economic development, the economic opportunities that could be unlocked by shifting capital into nature-positive activities and the risks of inaction and continued nature destruction.
The event will also be the first chance to hear the results of a major study by Vivid Economics and FSD Africa for ANCA which, for the first time ever, quantifies how nature-related opportunities and risks could impact the value of African financial institution portfolios.
Story by: FSD AFRICA.