Investments and green finance: which way to go?

The link between investment and green finance was today the subject of the second panel of the 23rd Maghreb Economists Forum, organized on the theme “Tunisia faces economic challenges of environmental and energy transformation”. Are we going to green the country? What are the consequences of a possible charred trajectory? What tools should be used in the Tunisian financial market to encourage green projects? How to encourage green finance? Is it possible to finance environmentally friendly projects by subsidizing interest rates?

Opening the work of this second group on green finance, Sameer Syed, Minister of Economy and Planning, recalls the national reform agenda recently presented by the government. It aims, among other things, to produce 2,000 MW of energy from renewable sources between 2023 and 2024 and 2025. “We are working on it. We need an agreement with UGTT to find a solution. We must succeed.” This is precisely what the minister emphasizes in his address to the UGTT. And add: “There is a significant opportunity in resource diversification, and investors are willing to invest. »

The optimist Hervé Lorenzi, founder and member of the Circle of Economists and president of the Aix-Province Association of Economic Meetings, for his part emphasizes that savings must be large and strong in order to encourage this kind of investment. He also stated that profound reforms would be carried out. As for the carbon tax, Herve Lorenzi reports that Africa is being punished today. “We need 4% more investment to meet COP21 targets. Green finance is important, but the path is not easy. International issues must be dealt with fairly,” he said.

CDC and green bond issuance

How does the Caisse des dépôts et de consignation (CDC) see the situation in Tunisia? To answer this question, Nejia Garba, managing director of CDC, reminds us that the fund plays an important role in sustainable investment. In particular, through support for innovative companies, support for the ecological and energy transition. And this is within the framework of goals 6,7 and 13 of sustainable development. In the same context, the CDC CEO is raising the issue of issuing green bonds. Thus, he is reaching out to private actors to take advantage of the funding opportunity available in this area.

Alexandre Bordet, CEO of Cibola Partners, for his part, dwelled on the issue of donations and loans.

Rate bonus

Returning to the issue of financing green and environmentally friendly projects, Mondher Lahal, managing director of the National Agricultural Bank (BNA), said that loans at preferential rates are now possible. “We must go now. Each bank must also have its own environmental management system. It is possible for SMEs to obtain financing, for example, with a long maturity and low cost. We are ready to apply bonuses for environmentally friendly companies. base.” We are assured of this by BNA’s CEO, who called for green thinking because it is an imperative, not a luxury.

Rafael Leshanoin, head of strategic deals at EY Europe West Renewables, stresses the need to focus on the right projects. In order to invest in green projects, Rafael Lechanouin recommends in particular to have long-term national ambitions. As well as a roadmap every three years and adequate rules to make green projects profitable. “Today, private investors play an important role in the environmental and energy transition,” he says.

After all, Wissem Ajily Ben Youssef, Ph.D., director of MBA Finance-Eslsca Paris Business School, notes the need to manage information asymmetries between owners and applicants for funding. She believes that few companies are able to assess environmental performance.