FinTech Magazine - February 2022 | Page 70

WRITTEN BY : DERIN CAG

THE DISRUPTIVE POWER OF FINTECH FOR SUSTAINABLE DEVELOPMENT

There ' s a significant opportunity to use fintech to tackle pressing local , national and global issues , as businesses increasingly focus on the ESG criteria

T he changing climate , humanitarian crises , and other challenges have made it clear ; organisations have to find new ways of doing things . The fintech industry , like any other sector , is responsible for innovating novel ideas to improve international issues and be a valuable asset for sustainable development .

According to Jinder Kang , Innovation Consultant at Netguru , " Gone are the days where businesses could claim ' we didn ' t know ' or look to share only the curated information that painted them in a positive light . The continued acceleration of technological advancements has brought us to a position in the world where if you are not transparent , someone will paint your picture for you ."
This feature article explores how the fintech industry is affecting sustainable development and provides insight into sustainable initiatives being embraced by fintech companies .
Increased focus on ESG criteria As the environmental , social , and governance ( ESG ) criteria become a mandatory requirement in some countries , most organisations ' hands are being forced . Furthermore , investors and consumers alike are paying more attention to the way companies conduct their business , demanding sustainable initiatives to be transparently integrated into core operations .
“ From setting their own example to financing the transition to a carbonneutral economy to leveraging their role in lending and payments to create more robust reporting for both private and public companies , financial services firms are critical to driving global ESG progress ,” said Tim Gokey , CEO of Broadridge .
70 February 2022