Climate change and global finance at the crossroads (SuFi)

Humanity is facing a millennium challenge: the transformation of the state, industry and society to zero _CO2 emissions. However, the financial sector is struggling to steer financial flows away from fossil fuels and towards sustainable investments.

The SuFi project is investigating how the state and authorities can create incentives and regulations for climate-friendly investments. The examiners are developing an interdisciplinary, cross-method analytical framework and examining how various aspects - including regulations, climate and financial policy, monetary policy and demands from civil society - affect the financial markets. Based on the results, they develop policy instruments and strategies to incentivise the financial sector to invest sustainably. They also make recommendations on how the transition to a low-carbon financial system can be accelerated.