GreenFin’s activities are organized in 6 interconnected Work-Packages (WP) along the 18 months’ duration of the project (Dec 2019 – June 2021). Each WP contributes to answer to a specific research question (RQ)
WP1 provides a comprehensive review of current sustainable finance initiatives, instruments and mechanisms – both for developed and developing countries. An evaluation framework will be developed allowing users to assess the strengths and weaknesses, opportunities and challenges for sustainable finance initiatives and instruments.
RQ1: What role do markets, policies and institutions play in driving/hindering the success of green finance?
WP2 builds robust financial econometric models to test to what extent Austrian investors have started to decarbonize their portfolios in reaction to the ratification of the Paris Agreement, and under which conditions green financial portfolios could outperform brown portfolios.
RQ2: Are Austrian investors reacting to climate announcements and how does this affect the financial performance of green and brown companies and assets?
WP3 develops the macroeconomic behavioral model EIRIN to analyze the macroeconomic, financial and distributive impacts of green finance in Austria on a sound accounting and empirical basis.
RQ3: Under which conditions policies and regulations can help to scale up green investments in Austria while minimizing trade-offs?
WP4 creates a two-regions Stock-Flow Consistent calibrated macroeconomic model for assessing the risks, opportunities, and trade-offs of Austria’s green development investment in the West Balkans
RQ4: How could greening Austrian development finance contribute to sustainable growth in the beneficiary countries thus minimizing risk of losses for Austrian investors?
WP5 elaborate the results of the previous research steps to develop a novel, ready to use toolkit to support Austrian policy and decision-makers in their ex-ante evaluation of initiatives for scaling up green finance.
RQ5: What lessons can be learned from international examples to scale up green finance in Austria?
GreenFin benefits from the expertise of stakeholders from leading Austrian and international climate finance institutions, including central banks, financial market authorities and regulators, development finance institutions and academics. They engage in knowledge co-production in different stages of the project development and dissemination and in the testing of the prototype toolkit for green policy evaluation. In addition, they advise on the research quality and policy relevance of GreenFin’s results.