2.3 Sustanability

Question 1

Sustainability

Answer 1

Meeting people’s needs in the present without compromising the ability of future generations to meet their needs

Question 2

The 3 pillars of sustainability

Answer 2

Economic, social and environmental
(Profit). (People). (Planet)

Question 3

Economic sustainability

Answer 3

When countries allocate their resources so that short term growth does not comprise longer term economic development and does not have negative impacts on society and environment.

Question 4

Economic sustainability include:

Answer 4

Reducing unsustainable consumption and recycling waste materials to ensure that sufficient resources are left to benefit future generations

Question 5

Social sustainability

Answer 5

When all members have the opportunity to live in prosperity.

Is healthy, safe and educated and benefit from human rights and fair labour practises

Question 6

Environmental sustainability

Answer 6

Is sustainable when it can maintain an ecological balance

Addressing climate changes reducing biodiversity loss and cutting pollution

Question 7

Sustainable behaviour by organisation

Answer 7

Important for businesses to direct their activities to reducing greenhouse gas emissions and promoting the health of worlds ecosystem

Question 8

Organisations performance can influence:

Answer 8

• it’s competitive advantage
• reputation
• ability to attract and retain customers workers, customers
• employees morale, commitment and productivity
• views of investors, lenders, sponsors and the financial community
• relationship with companies, gov, the media, suppliers etc in which it operates

Question 9

Banks position in society and the wider environment

Answer 9

Environment
Society
Economy
Financial systems
Banks

Question 10

Responsible banking

Answer 10

Failure of one bank has an effect on other banks

For this banks must be aware of their systemic responsibilities and to ensure they lend to credit worthy customers and at the same time, maintain growth level of liquidity and capital.

Question 11

Step to become more sustainable for a bank

Answer 11

First step for a bank to become more sustainable = to reduce its own environmental footprint
E.G. using energy efficient buildings, recycling waste, encouraging staff to use public transport.

Question 12

Continue to use finance high carbon

Answer 12

Banks continue to the increase and impacts of climate change and impact wider environment (e.g. deforestation, and habitat loss)

Question 13

United Nations Sustainable Development Goals (UN SDGs)

Answer 13

2015, shared a blueprint for ending poverty in all its forms and achieving peace and prosperity for people and the planet.
Improve health and education, reduce inequality

Question 14

17 sustainable development goals

Answer 14

These goals need to be actioned by all countries, developed and developing.

Question 15

Goal 1

Answer 15

No poverty

• end poverty in all its forms everywhere

Question 16

Goal 2

Answer 16

Zero hunger

• end hunger, achieve food security and improved nutrition and promote sustainable agriculture

Question 17

Goal 3

Answer 17

Good health and well being

• healthy lives and promote well being for all ages

Question 18

Goal 4

Answer 18

Quality education

• quality education and promoting lifelong learning opportunities

Question 19

Goal 5

Answer 19

Gender equality

+ empower all women and girls

Question 20

Goal 6

Answer 20

Clean water and sanitation

• ensure availability and sustainable management of water and sanitation for all

Question 21

Goal 7

Answer 21

Affordable and clean energy

Ensure access to affordable, reliable, sustainable and modern energy for all

Question 22

Goal 8

Answer 22

Decent work and economic growth

Promotes sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all

Question 23

Goal 9

Answer 23

Industry innovation and infrastructure

Build resilient infrastructure, promote inclusive and sustainable industrialisation and foster innovation

Question 24

Goal 10

Answer 24

Reduce inequalities

Within and among countries

Question 25

Goal 11

Answer 25

Sustainable cities and communities

• make cities and human settlements, inclusive, safe, resilient and sustainable

Question 26

Goal 12

Answer 26

Responsible consumption and production

Ensure sustainable consumption and production patterns

Question 27

Goal 13

Answer 27

Climate action

Take urgent action to combat climate change and its impacts

Question 28

Goal 14

Answer 28

life below water

Conserve and sustainably use the oceans, seas and marine resources for sustainable development

Question 29

Goal 15

Answer 29

Life on land

Protect, restore sustainable use of terrestrial ecosystems.
Sustainably manage forests
Combat desertification
Reserve land degradation and biodiversity

Question 30

Goal 16

Answer 30

Peace, justice and strong institutions

Promote peaceful and inclusive societies for sustained development

Build effective, accountable inclusive institutions for all levels of

Question 31

Goal 17

Answer 31

Partnerships for the goals

Implementation, revitalize the global partnership for sustainable development

Question 32

Bank can support the SDGs in many ways:

Answer 32

1. Investment decisions incorporate environmental social
2. Fiduciary duty - obligation to act in the best interest of another party with sustainable development
3. Engaging with companies they hold a stake in
4. Providing debt finance for SDG solutions
5. Promoting access to finance for individual entrepreneurs and small to achieve SDGs
6. Developing innovative financial products and processes
7. Their operations and wider business activities support

Question 33

The Paris Agreement (TPA)

Answer 33

Legally binding international treaty on climate change
Adopted by 196 countries

Goal = to increase in the global average temperature to well below 2 °C above pre industrial levels
- to limit the temp to 1.5 °C

TPA Works on a 5 year cycle of increasingly climate ambitious climate actions.

Since 2020, national climate actions plan = nationally determined contributions (NDCs)
These are what countries have been submitting for their climate actions

Question 34

Nationally determined contributions (NDCs)

Answer 34

These set out the actions that countries will take to reduce their emissions and adapt to the impact of climate change

Countries are invited to submit greenhouse gas emissions reduction strategies for the long term.

Countries need support to plan and fulfil their NDCS

Banks can provide financial assistance which will make a big contribution

Question 35

Mitigation

Answer 35

Involved large scale investments in areas such as renewable energy, adaption
which means building resilience to the impacts of changing climate such as building flood defences