KUALA LUMPUR: Finance and central bank deputies have been deliberating on policy recommendations to support the transition to sustainable finance and commit to more sustainable economic growth.

       Krisada Chinavicharana, chairman of the 2022 Asia-Pacific Economic Cooperation (Apec) Finance and Central Bank Deputies Meeting, said Apec member economies recognised the risk of climate change and the role of sustainable finance in achieving global targets to curb carbon emissions.

       “In the last two years, authorities around the world have diverted their priorities to saving people’s lives and protecting livelihoods, and rightfully so,” he said in a statement. “Today, as we navigate life with Covid-19, many of us have realised that sustainability is an integral part of the recovery, crucial in building a better future for our people.”

       The meeting, held virtually on Wednesday and yesterday, heard member economies’ views and best practices on policy instruments for supporting sustainable finance, given economies’ fiscal limitations and budget constraints from the pandemic.

       Members also reflected on the opportunities and costs of adopting more ambitious measures and considered further integrating disaster risk financing into government budgets and a sustainable finance framework.

       “As governments, we have the potential to do more, to mobilise resources and make structural changes and we cannot afford to stand still and wait for the private sector to make a move. A collaboration and close partnership between the two is ideal,” Krisada added.

       The vast growth on the digital front prompted member economies to look into deepening the role of digital technologies for fiscal policy and in inclusive finance.

       He said during the pandemic and the introduction of lockdowns, governments have learned to utilise data in order to better allocate and target government assistance or stimulus packages, which are then delivered through digital channels, such as mobile applications or electronic payment platforms.

       “We must continue to ride the wave of technology and extend its role in supporting areas such as payment and remittance services, as well as revenue collection for governments.” — Bernama

       Given that the Asia-Pacific is the largest contributor to global payments revenues, Krisada urged member economies to seize the momentum and discuss how this trend can be captured for the benefit of financial inclusion while addressing challenges in cross-border transactions.

       “This will greatly benefit not only people across the region but also our micro, small and medium enterprises who can benefit from the transparency, openness, and connectivity across the region,” he concluded.

       The discussion from the two-day finance and central banks deputies’ meeting will be brought forward to the Apec Senior Finance Officials’ Meeting scheduled for June this year and their recommendations will be provided to Apec Finance Ministers when they meet in October. -- Bernama