European Sustainable Finance Survey 2020 | Report

The “European Sustainable Finance Survey” assesses the current state of alignment of listed European companies’ economic activities and banks’ lending activities with the EU Taxonomy. The first report was launched during the European Sustainable Finance Summit 2020.

If the European economy is to become more sustainable, all sectors will have to do their part in the transformation. The financial sector is no exception. In light of Germany's Presidency of the EU Council in 2020, the German Federal Ministry for the Environment commissioned adelphi and ISS ESG to assess the current state of alignment of listed European companies’ economic activities and banks’ lending activities with the EU taxonomy for sustainable finance.

In September 2020, the first report of the respective “European Sustainable Finance Survey” was launched, in parallel to the European Sustainable Finance Summit 2020. The report illustrates that currently only a small share of economic activities can be considered aligned with the EU taxonomy’s criteria on climate change mitigation and adaptation. In addition, it outlines the challenges companies and banks that participated in the Survey expect when applying the EU taxonomy to economic activities or lending. The report also reflects measures that, according to interviewed companies and banks, could foster a smooth introduction of the EU taxonomy as well as its overall success.

About the report

The insights summarised in the report build on an ISS ESG assessment of 75 listed European companies’ economic activities, written responses to an online questionnaire from 84 companies developed by adelphi, and in-depth interviews conducted by adelphi with 25 listed companies. Further, adelphi conducted in-depth interviews with six European banks to obtain insights into the current state of application of the EU taxonomy to lending.

As of today, this survey is one of the most comprehensive empirical assessments on the current state of alignment of listed European companies’ economic activities and banks’ lending activities to the EU taxonomy. The results help to inform the ongoing discussions on the EU taxonomy at the EU level and to maximise the relevance and usability of the EU taxonomy for key stakeholders, in particular listed companies and banks.