What happens when multinationals, financial institutions and startups start working in partnership to solve a sustainability challenge?
The world is our oysterWith a mandate to address the practical challenges of collaborative multi-sector innovation, the task was to establish a way to set up "Fintech for Sustainability" catalysts for the various parties:
"The collective know-how of multinationals, financial institutions and startups could play a critical role in tackling the sustainability challenges in the 21st century"
The most recent manifestation of this new approach is the deployment of blockchain technology to incentivise sustainable supply chains in tea production: by casting light on the production processes and making it easy to monitor and record social and environmental practices, financial institutions are able to structure financing that provides a financial incentive to meet sustainability objectives.
The idea, then, is simple enough: bring together multiple specialists from across disparate sectors, align their interests, and make tech-driven sustainability happen. It is not without its challenges. But banks like BNP Paribas, which is part of this Fintech Taskforce and has taken major strides to speed up the energy transition, are working more and more with both startups and multinationals to overcome some of the more difficult obstacles.
While we take our first tentative steps, as the use of blockchain in the harvesting of tea shows, when we set our minds to it, almost anything is possible – and the world is our oyster.