MFB / Banks have a prominent role to play in implementing the sustainability transition
28 September 2023MFB Hungarian Development Bank believes appropriate preparedness on the part of domestic financial institutions is of particular importance in terms of the ESG transition. Steps taken towards sustainability on the financing side can do much to foster the change of mindset needed to improve the competitiveness of economic players, and so it is important to assess where the finance sector stands regarding its preparations. It was with this aim in mind that MFB Hungarian Development Bank (MFB) and the Hungarian Project Management Association (HPMA) held their joint conference entitled “ESG Challenges in the Financial Sector” on 26 September at MFB’s headquarters. The meeting was attended by Máté Lóga, Secretary of State for Economic Development and National Financial Services at the Ministry of Economic Development.
The conference held on 26 September 2023 in the Kupola Hall of MFB’s headquarters brought together professionals from several relevant fields, including a government expert in strategic planning for economic development, a representative from the National Bank of Hungary, a consultant with experience in ESG regulations, and representatives from commercial and development lending institutions. The main objective of the meeting was to co-ordinate regulatory and business tasks in the ESG field, given that ESG issues are already a common concern among Hungarian companies and financial institutions. Topics at the conference included the ESG challenges facing the banking sector, the related needs of market players and regulators, and an assessment of where the sector currently stands in the transition process.
The conference was opened by Ildikó Zátrok, Deputy CEO of MFB, who emphasised in her welcoming speech that “banks have a key role to play in ensuring that the ESG transition steps required and expected by market participants and the regulatory authorities are disseminated among economic actors as quickly and effectively as possible.”
In line with its mission as a development bank, MFB is committed to being at the forefront of disseminating sustainability best practices and approaches in the country. The bank attaches particular importance to the practical implementation of forward-looking financing techniques that can help market players to make the sustainability transition. To achieve this, banks will also need to implement significant internal process control and risk management improvements, in which the project management departments of the financial institutions concerned will also have a significant role to play.
Máté Lóga, Secretary of State at the Ministry of Economic Development, said that “it is a priority goal of the government to ensure that Hungary maintains and secures its long-term competitiveness while also meeting its climate targets. The key players in the process should try to ensure that the relevant knowledge of companies, and in particular SMEs, keeps pace with the development of the green finance segment.”
Besides serving as a venue for debating issues affecting the sector, the long-term goal of the conference, which was held with the intention of creating a tradition, is to become the common forum of choice for financial institutions and businesses. The Hungarian Banking Association also actively contributed to supporting the conference in terms of professional input.
Further information:
MFB Hungarian Development Bank
Marketing and Communication Directorate
kommunikacio@mfb.hu