ADFIAP sponsored a virtual conference for a Subgroup Discussion to create the “CEFIA Collaboration Roadmap in Finance” on January 11, 2022. CEFIA stands for “The Cleaner Energy Future Initiative for ASEAN”. Twenty-eight (28) participants from ADFIAP member-banks and other financial institutions from Malaysia, Solomon Islands, Federated States of Micronesia, Vietnam, and the Philippines were in attendance.
The goal of the conference was to promote interest among financing institutions in working together to achieve regional clean energy objectives, as well as to consult and seek confirmation on issues that FIs confront when financing and investing in clean energy. They also want to provide a road map, share best practices, and draw on FI’s renewable energy experiences. The discussion also included the determination of the type of government assistance needed to speed up clean energy financing, as well as variables that would provide an enabling regulatory environment. Identifying joint actions that governments, banking regulators, and financial institutions in the region can undertake or implement over the next five years was also part of the goals.
The Finance Collaboration Roadmap is a summary of ideas, strategies, solutions, and recommendations in line with global and regional goals in the short to medium term. At the meeting, specific regional cooperation initiatives were presented, with CEFIA and the members of the ADFIAP Finance and Investment Center (AFIC) serving as facilitators to ensure full implementation. Participants in the subgroup discussion included representatives from each ASEAN country’s Financing Institution (DFI, KB, or guarantee agencies), representatives from Multilateral Development Banks that work in the ASEAN region, representatives from ASEAN banking associations, and representatives from other organizations.
The global issue of climate change has led economies to revise their recovery strategy towards a greener recovery, including a move to more efficient resource consumption and a reduction in dependence on carbon-based energy. CEFIA which was launched in September 2019 at the 16th ASEAN+3 Ministers meeting in Bangkok, Thailand, serves as a platform for public and private sector collaboration to accelerate the deployment of cleaner energy and low-carbon technology throughout the ASEAN region. The purpose of CEFIA is to promote “business-driven global diffusion” while setting policy on three critical components: low-carbon technologies, institutions, and finance.