The Role of Sustainable Finance in Shaping the Global Economy
The Role of Sustainable Finance in Shaping the Global Economy Sustainable finance has emerged as one of the most influential forces shaping the global financial system. In 2025, it is no longer viewed as a niche concept driven solely by ethical concerns. Instead, sustainable finance is increasingly recognized as a practical framework for managing long-term economic risk, allocating capital more efficiently, and supporting resilient growth in a rapidly changing world. As climate change, social inequality, and governance challenges intensify, financial institutions, corporations, and investors are being forced to reconsider how financial decisions affect not only profits, but also societies and ecosystems. Sustainable finance represents a shift in mindset—from short-term financial performance toward long-term value creation. ### Understanding Sustainable Finance At its core, sustainable finance refers to financial activities that integrate environmental, social, and governance consi...