Market Trend
The global Sustainable Financing market is at $4.2Trillion, growing at a CAGR of 22%. Commercial lending market is a $10 Trillion market. Financial Institutions and corporates spend $5B per year manually doing ESG analytics.
Despite this rising demand, banks and mid-market companies are currently underserved when it comes to ESG risk solutions.
- Traditional or commonly available ESG tools such as S&P and MSCI are time and labour-intensive and meant for large enterprises. There is work needed here on automation, design and finesse. They are expensive and lack coverage.
- Where larger enterprises may choose to employ dedicated Chief Sustainability Officers and ESG teams to meet that challenge, mid-market companies can’t afford large teams and need tools to support effective ESG compliance- and risk-management.
- Most new ESG tools enable periodic information gathering but almost none are focused on continuous risk monitoring and automation, leaving companies exposed to ESG threats and compliance violations.
The GreenFi Advantage
- GreenFi ESG AI Automation automates ESG due diligence, risk assessment, regulatory compliance and simplifies information security with its ESG risk-focused platform.
- Full stack cloud-native solution: GreenFi Automation has built a comprehensive solution on cloud-native architecture, providing scalability and ease of use.
- Focus on ESG automation: It focuses on continuous monitoring, rapid deployment, and streamlined compliance workflows.
- Experienced team: It has the right team with expertise in sustainability and tech.
Learn more about AI in ESG context
ESG AI software for Sustainable Financing
Fostering transparency and credibility, GreenF’s software empowers banks to set up impactful climate strategies in SME lending.
What we want to solve with GreenFi: Small and Medium Enterprises (SMEs) are crucial for the green transformation of our economy as they contribute to 63% of CO2 emissions. But studies suggest that many of them lack funding for climate action (e.g. SME Climate Hub, 2023).
Why we think banks are important: As SMEs still rely on bank financing, we are convinced that banks can play a pivotal role in providing the necessary funds for SMEs’ green transformation. Banks can support SMEs in their transformation process by setting up a climate strategy for their SME lending which will also enable them to mitigate their climate risks, such as financial and regulatory risks but also leverage opportunities by gaining reputation in the market. The problem for banks is, however, that they lack the necessary SME data and tools to set up the climate strategy.
And that’s where GreenFi comes in! GreenFI ESG AI software enables banks to generate climate SME data, explore the results in a comprehensive way, get a climate strategy for their SME lending portfolio and to find the most vulnerable clients to grant effective climate improvement loans. And the good news is: All that is possible without the need of extensive ESG questionnaires or black-box models.
Contact us to learn more and see the demo – hello@greenfi.ai
