NBT: Launch of the EBRD Technical Assistance program in the framework of MU on cooperation in field of management, regulation of environmental, social risks and corporate climate management

The conference on the official launch of the EBRD Technical Assistance Program in the framework of MU on cooperation in field of management, regulation of environmental, social risks and corporate climate management held on December 6, 2023 with participation of Chairman of National Bank of Tajikistan Hokim Kholiqzoda, Permanent Representative of the European Bank for Reconstruction and Development (EBRD) in the Republic of Tajikistan Mr.Holger Wiefel, Head of Green Financial Systems of the EBRD Ms. Ksenia Brockman, Economist of Green Financial Systems of the EBRD Mr. Damin Chung and Head of Financial Sector and EBRD Green Economy Financing Program in Tajikistan Bahodur Yusupov.

First Deputy Chairman of National Bank of Tajikistan Firdavs Tolibzoda, Deputy Chairman of National Bank of Tajikistan Firuz Sharifzoda, representatives of financial credit institutions and heads of key structural subdivisions of the bank also took part in this event.

The Chairman of National Bank of Tajikistan Hokim Kholiqzoda has opened the event with a welcoming speech noting that the Technical Assistance Program of the European Bank for Reconstruction and Development (EBRD) in the framework of the aforementioned MU signed in September this year between the Bank and the EBRD is launched.

He thanked the European Bank for Reconstruction and Development, especially Mr. Holger Wiefel, Permanent Representative of the EBRD in Tajikistan, for starting the second phase of the Green Economy Financing Program in Tajikistan and for assisting the development of cooperation between the National Bank of Tajikistan and the Greening of Financial System Network.

It was also noted that at the meeting of President of the Republic of Tajikistan, Honorable Emomali Rahmon with President of the European Bank for Reconstruction and Development Ms. Adil Renaud-Basso, on the sidelines of the 28th Conference of parties of the United Nations Framework Convention on Climate Change, in connection with the issue of the impact of climate change, which was held on December 2, 2023, all social and economic aspects of the countries of the world and joint measures to counter these threats, were given special importance. According to the latest assessment, Tajikistan, like other countries in the region, is exposed to climate-related risks, and taking into account the possible consequences for the country's economy caused by climate change, they are more financial in nature.

Therefore, the National Bank of Tajikistan aims to study the experience of about 130 central banks and regulatory bodies around the world, increase capacity in the field of integration of environmental and climate risks into the banking system, as well as close cooperation with development partners, including the European Bank for Reconstruction and Development, has submitted an application for membership in the "Network for Greening the Financial System (NGFS)" in the aforementioned areas.

The Chairman of National Bank of Tajikistan has expressed his hope that the European Bank for Reconstruction and Development will support the Bank's efforts in direction of greening the financial system and integration of principles related to the environment and climate in the financial sector.

The Permanent Representative of the EBRD in the Republic of Tajikistan Mr. Holiger Wiefel, in turn expressed his satisfaction with the level of bilateral cooperation between the EBRD and National Bank of Tajikistan noting that cooperation in financing the green economy for development of further relations between the parties in field of financial inclusion, insurance, foreign exchange market, securities and corporate governance contribute significantly.

He added that the EBRD has become one of the largest institutional investors in Tajikistan and has established close cooperation with central banks and regulators to facilitate the exchange of international best practices in addressing risks arising from climate change. Mr. Holiger Wiefel also has stated that he expressed the readiness of the European Bank for Reconstruction and Development to continue effective cooperation in financing the green economy, development of the financial sector and the economy of Tajikistan.

In the continuation of the meeting, the First Deputy Chairman of the National Bank of Tajikistan, Firdavs Tolibzoda, drew the attention of the audience to the activation of natural processes within the territory of the Republic of Tajikistan and its impact on the socio-economic development of the country, security of the banking system through physical risks, on principles of environmental, social and corporate management, issues of climate-related risk management in credit institutions, central banks taking into account climate-related factors and risks related to it.

He emphasized that in today's world, issues related to climate change, ensuring environmental security, reducing greenhouse gases and developing the "green" economy, which have become hot topics of the day, can have unpleasant consequences for the economy of developed and developing countries.

"The National Bank of Tajikistan with the support of international financial institutions and development partners, aims to create a suitable platform, first of all, to develop a legal framework for development of modern "green" financial products and services in Tajikistan. Therefore, it is necessary that the financial credit institutions of Tajikistan start their activities in the direction of introducing the mechanisms of participation in the green financing market", - has said F. Tolibzoda.

Then, the head of green financial systems of the EBRD, Ms. Ksenia Brockman, has addressed the meeting with a detailed presentation of the green economy financing program, consequences and opportunities related to climate change, characteristics of climate risks and other issues related to the "Greening of the Financial System Network".

In the final part of the conference, the Chairman of the National Bank of Tajikistan Hokim Kholiqzoda once again has stressed the importance of coordinating bilateral efforts to reduce the risks associated with climate change and implementing environmental principles in the policy of financial institutions, stating that it is impossible without the active participation of the country's banking system.


Press Division
NBT