The assessment has shown that EIFO is Paris-aligned (or even ‘Transformational’) in all dimensions and most assessment questions, leading the way with many best practices among ECAs. The Danish government and EIFO should continue working on transforming the global export finance system in close collaboration with Nordic and other like-minded countries. Recommendations include:
Publishing estimated GHG emissions data and expected sustainability impact on a project-by-project level, including information on assets’ lifetime GHG emissions.
Continuing transparent tracking and disclosure of financed emissions (scope 3) based on international best practices such as the Partnership for Carbon Accounting Financials (PCAF).
Adopting a climate finance definition that builds on the EU Taxonomy and the latest climate science and applying it to the whole portfolio. The climate finance definition should encompass finance for all emission-reducing and enabling projects, as well as cross-cutting activities for both mitigation and adaptation.
Setting sectoral GHG emission reduction targets for the short-to-medium term to reach net zero by 2045 or earlier in line with Denmark’s climate target.
Continue Denmark’s ambitious pursuit of promoting global climate mitigation by creating a reliable regulatory framework and financial incentives to support low-emission exports, e.g. by setting quantified targets for green investments in key policy documents like the Danish Government’s long-term Strategy for Global Climate Action (UM, 2020).
Building on its climate leadership in international fora and leveraging Nordic cooperation to reform rules governing public support for fossil fuels globally, e.g., by utilizing Denmark’s leadership in the E3F initiative and the EU to strengthen OECD efforts, and by endorsing the proposal for an international ‘Fossil Fuel Non-Proliferation Treaty’, following the lead of the city of Copenhagen who has already endorsed it (Fossil Fuel Treaty, n.d.).