DIGITALIZATION PROCESSES AND TECHNOLOGIES IN ENSURING GREEN FINANCE AND REALIZING SUSTAINABLE DEVELOPMENT GOALS (SDGS)

Abstract

The world is evidencing digitalization in all business processes at a higher pace. People must be familiar with use of such technologies to avail services provided by business organizations. Services providing organizations such banks, insurance companies, logistics providers use technologies largely as those technologies help them in offering services at the lowest cost possible and gaining competitive edge in the market over other players through such value-added services being provided. The question remains unanswered for the people around the world is whether the intensive industrialization strategy being followed across the world by organizations both private and public sector, is making a society that is free from environmental hazards such polluted air, polluted water and contaminated products and services. Organizations both public and private sector, will to have give an assurance that investments made by them are eco-friendly and environment friendly, so any harm to environment is not happening. Though organizations are mandatorily being asked to report on their commitment towards achieving the sustainable development goals, a commitment from organizations in achieving those sustainable goals is the need of the hour. Sustainability development goals can very well be achieved through investments in green projects. Green projects are financed by bankers and financial institutions; thus, financing is getting well-regulated and channelled well in achieving green returns on investments. Green returns is the greatest outcome in green finances. The need for green return is vital as world is facing many environmental threats such as polluted air, polluted water, contaminated sea resources etc. The challenge for both public and private organizations is identifying projects that are eco-friendly and environmentally friendly. Sustainable reports are being generated by organizations on the projects they intend to invest and at the same time, if the government and other eco-friendly organizations come out with certain prescribed standards and KPIs for organizations to adhere to in evaluating the impacts of long-term investments to be committed. Developing standards and KPIs is a long-term process and that needs consent of many stakeholders. To address the present challenge and to ensure effective green financing and green returns, organizations both public and private, banks, financial institutions, project management committees, sustainable development organizations at UN must all be connected through technologies such as Internet of Things (IOT), Artificial Intelligence, Data Analytics. By sharing data across networks and getting intensive evaluations by all those stakeholders or environmental regulators, green finance and green returns could be made as something possible in the digital world.