MODERN ARCHITECTURE OF DEFINITIONS AND CONCEPTS IN THE FINANCING SUSTAINABLE DEVELOPMENT PARADIGM
Abstract
In the sustainable development financing paradigm, the concepts of “sustainable financing”, “green financing”, “climate financing”, “low-carbon financing” are found, which are closely interconnected. The article is devoted to the study of сommon features and characteristic differences between categories and concepts found in the sustainable development financing paradigm, as well as founding the relationship between them. As a result of the study, it was found that аll categories are related as part and whole, and are aimed at achieving environmental goals and sustainable development goals. However, the scheme of the relationship between the components of sustainable development financing, which is found in the studies of international organizations and political documents of Ukraine, and the latest scientific sources, is outdated and does not reflect new market realities. It is not sufficiently disclosed in the context of environmental goals, contains unpopular terminology and does not include new “blue financing”. This led to the design of a modern architecture of categories and concepts in the sustainable development financing paradigm. The new architecture allows for a more precise definition of the environmental objectives of sustainable development financing, and for the differentiation of categories and concepts in light of new market realities. Investors may have different interests in the field of sustainable development. And in this aspect, the modern architecture of categories and concepts allows for the attraction of targeted investors who specialize in specific types of financing, in particular, those interested in green or blue economy projects. The modern architecture of categories and concepts is harmonized with international and European standards and classifications in the field of sustainable financing. It can be useful for governments and regulators in harmonizing national approaches, developing policies and regulations in the field of sustainable finance, including indicators and criteria for assessing the effectiveness of different types of financial instruments. This will ensure transparency and accountability in the financial market, targeted use of funds, and simplifying the assessment of effectiveness and reporting within the framework of different types of financing.
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