Amongst many exciting launches at the World Economic Forum Annual Meeting in Davos was the Green Digital Finance Alliance. This initiative is hoping to utilise digital technologies to encourage financing of sustainable development in order to tackle global environmental challenges.
The two founders involved in the project are at Ant Financial Services Group (China’s leading online and mobile financial services provider) and UN Environment.
"The Green Digital Finance Alliance is a unique partnership ensuring that we can align tomorrow's fintech-powered global financial system with sustainable development. UN Environment is honoured to partner with Ant Financial in making green finance an integral part of the daily life of every individual and business", said Erik Solheim, Executive Director of UN Environment.
An example of how this will work for users is the carbon account, which will sit alongside customers’ credit and savings accounts. This allows users in China to track their carbon footprint, through algorithms of their financial transaction history, and earn ‘green energy’ credits for lowering their output.