Following the historic resolution by UN Member States in March 2022 to create an international legally binding agreement to combat plastic pollution, in January 2023, UNEP FI brought together a core group of leading financial institutions with total assets of USD 15 trillion to work on this critical issue. The Finance Leadership Group on Plastics supports the development of the international treaty by providing input and recommendations to the Intergovernmental Negotiation Committee (INC) on the desired outcomes for banks, insurers and investors. The group also works to build readiness in the finance sector through awareness-raising, capacity-building, and guidance on actions for reducing pollution across the plastic value chain.
Plastic pollution is inextricably linked to the triple planetary crisis of climate change, biodiversity loss, and pollution. If left unaddressed, plastic is projected to account for 15% of global greenhouse gas emissions by 2050. Plastic pollution is also highlighted in the 7th target of the Global Biodiversity Framework, which seeks to “prevent, reduce, and work towards eliminating plastic pollution”. A primary goal of the Finance Leadership Group on Plastics is to link environmental goals by demonstrating how addressing plastic pollution can simultaneously benefit climate action, a just transition, and biodiversity.
In 2023, the Finance Leadership Group on Plastics published key messages and a paper for negotiators of the plastics treaty and the finance sector, outlining the role and requirements of financial institutions in enabling the transition to pollution-free economies. These outputs, along with the group’s ongoing activities, aim to accelerate and scale up the mobilization of financial flows from all sources to end plastic pollution.
“Financial institutions have an important role to play in financing the systems change needed to end plastic pollution and therefore in contributing to the Plastic Treaty. At ING we are committed to being part of the Finance Leadership Group on Plastics and hope to welcome more peers into this group.” Steven van Rijswijk, CEO of ING Group, Member of the Finance Leadership Group on Plastics
Convened by UNEP FI and sponsored by the Minderoo Foundation, the group collaborates with the Principles for Responsible Investment (PRI) to mobilize a broader community of financial institutions on this agenda, and receives strategic support from the World Economic Forum’s Global Plastic Action Partnership. Additionally, the group works with initiatives like the Business Coalition for a Global Plastic Treaty, led by the Ellen MacArthur Foundation and the World Wildlife Fund (WWF), to ensure alignment across efforts to beat plastic pollution.
Financial institutions interested in learning more or joining the group should contact Jan Raes, UNEP FI’s Finance and Plastics Lead.