ABSTRACT
This chapter addresses the topic of the challenges that sustainable finance is currently facing under the spotlight of the criticism and the scrutiny surrounding ESG investing, as it does not create a meaningful impact on environmental and societal challenges. In the transition towards a sustainable economy the financial sector plays a key role, and the UN Sustainable Development Goals (SDGs) represent a meaningful framework to assess its contribution to a just society. A new phase of sustainable finance is required: rooted in the concept of double materiality the new sustainable finance cannot but be a “finance for impact.
