Sakshi Education
- On March 2, 2022, the International Financial Services Centres Authority (IFSCA) invited public to comment on “draft framework on sustainable and sustainability-linked lending by financial institutions” in the IFSCs.
- The draft guidance framework seeks to encourage the IFSC banking units (IBU) and finance companies or finance units (FC/FUs) for internally developing a comprehensive board approved policy on green or social or sustainable or sustainability linked lending.
- It intends to provide a broad framework for adoption of principles aligned with existing international standards including green or social loan principles developed by loan market association (LMA), Climate Bond Standards by Climate Bonds Initiative, bond principles developed by the International Capital Markets Association (ICMA) and any other similar recognised standards.
- International Financial Services Centres Authority was established by central government for regulating all financial services in International Financial Services Centres (IFSCs). It is headquartered in Gandhinagar (Gujarat). Its key functions include:
- To regulate financial products like securities, deposits or contracts of insurance, financial institutions and financial services.
- To regulate any other financial products, financial services, or financial institutions in an IFSC, notified by the central government.
- To recommend any other financial products, financial services, or financial institutions, to the central government, this may be permitted in an IFSC.
Published date : 04 Mar 2022 05:54PM
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