Development of national sustainability disclosure requirements and support in the implementation of the requirements for financial institutions

Emerging markets and developing economies (EMDEs) have set ambitious targets aligned with the Sustainable Development Goals (SDGs), the Paris Agreement, and the Convention on Biological Diversity (CBD). Achieving these goals requires a fundamental transformation of economic and financial systems, particularly in countries that are highly vulnerable to climate and biodiversity crises and face limitations in financial and institutional capacities. To support this transformation, the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH is implementing the global project Sustainable Economic Transformation and Sustainable Finance (2Transform) on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ), co-funded by the European Union. The project is part of the Team Europe Initiative (TEI) Sustainable Finance Advisory Hub (SFAH) and complements the Global Green Bonds Initiative. It provides targeted technical assistance to partner countries, enabling them to attract private capital for sustainable development and ensure a just and inclusive transition. The project works in two components: 1. Sustainable Finance This component aims to accelerate the financial sector"s transformation towards sustainability in alignment with international standards and national development goals. The Sustainable Finance component is currently active in Brazil, India, Mexico, Peru, Rwanda, Senegal, Egypt, South Africa and Ghana . The activities are divided in three workstreams: Global agenda setting and knowledge exchange: This pillar fosters international dialogue and peer learning, working closely with networks such as the Sustainable Banking and Finance Network (SBFN), UNEP Finance Initiative (UNEP FI). It promotes the interoperability of frameworks and supports partner countries in articulating their needs and positions globally. Policy and regulatory frameworks: The project supports the development and enhancement of sustainable finance policies, regulations, and supervisory practices. This includes assistance in drafting taxonomies, sustainability disclosure frameworks and policies, green/sustainable bond frameworks, sustainable finance strategies, and risk-based regulations that foster financial stability and green investments. Transformation of financial institutions: The project helps banks and other financial actors embed sustainability in governance, strategies, and operations. To deliver scalable training, GIZ, UNEP FI, and the Chartered Banker Institute have co-founded the Principles for Responsible Banking Academy (PRB Academy). This global learning platform offers both online and in-person trainings based on the PRB. Tailored advisory services are also provided to selected institutions to support their sustainability transformation. 2. Sustainable Economic Transformation This component offers economic policy advisory services through capacity-building measures to advance green industrial development and the sustainable economic transformation of partner countries. It supports capacity development for evidence-based industrial and economic policymaking within relevant ministries and subordinate authorities - such as ministries of economy, energy, planning, and environment - as well as private sector organisations and structured economic actors (e.g., industry associations). A particular focus lies on green hydrogen and Power-to-X, aiming to maximise the development impact and local value creation of investments in the green hydrogen economy. The project ensures that such investments are meaningfully integrated into evolving national industrial ecosystems.