Azerbaijan to Lead with New Climate Investment Standards at COP29

Azerbaijan will launch a set of international standards to guide sustainable investment at COP29. The standards, agreed by over 100 countries, aim to harmonize climate finance taxonomies. Central Bank Governor Taleh Kazimov highlighted the upcoming green project funding and potential introduction of Islamic sukuk bonds.

Azerbaijan is gearing up to host the COP29 U.N. climate talks, where it plans to introduce a new set of standards aimed at guiding sustainable investment, according to the nation's central bank governor. These standards, created in collaboration with over 100 countries, are designed to bring clarity to climate finance taxonomies.

The European Union has already implemented a significant taxonomy, but the new U.N. version promises broader international appeal. Central Bank Governor Taleh Kazimov announced that the unified principles will simplify the process of issuing green loans, streamlining national taxonomies across the involved countries.

During Azerbaijan's hosting of the climate talks from November 11-22, Kazimov also noted on November 14 the planned announcement of extensive funding for green projects up to 2030. The head of the Association of Banks of Azerbaijan added that this would align with the national bank portfolio, while discussions continue around the introduction of Islamic sukuk bonds.

(With inputs from agencies.)