Asian-Pacific Association of Banking Institutes (APABI)

This edition of APABI Focus – themed “Finance for Purpose” to reflect the larger role finance plays in society and the environment – details how impact investing has been gradually moving from a moral imperative into a practical roadmap.

First is the all-important question of who pays. While the most recent COP30, held last November in Belém, Brazil, did not emphasize finance to the extent of others, it discussed blended finance as a way to combine the benefits of the public and private sector. The EU’s Carbon Border Adjustment Mechanism (CABM), meanwhile, addresses the cost question head-on, but also creates questions of fairness for trading partners, the topic of a policy brief by the ADB.

The next sub-topic is physical risk: we must pay attention to the actual assets being financed. Insurance will bear the brunt of climate-related disaster risks, and remains a critical sector for risk quantification. IIBF (India) has meanwhile contributed an article on their differentiated banking system, which is relevant for the social aspect of “purpose.” And finally, regarding upgrades to the financial sector from the drive toward sustainability, blockchain-enabled real-world assets (RWA) are appearing in solar panel, as covered in an article contributed by TABF (Taiwan). Meanwhile, a report published by CBI (UK) shows the breadth of sustainability skills requirements across the entire sector, not just concentrated in any particular role.

I want to thank all members who attended our first-ever board meeting. The Charter document we reviewed will pave the way for APABI to become a more formal organization, with more benefits for its member institutes. Furthermore, please make note that 2026 Biennial Meeting & Conference will take place from August 18-20 in Cambodia. I look forward to meeting all attendees at our key gathering!

Regards,

David Stinson
Editor-in-Chief, APABI Focus Newsletter