The Reserve Bank of Zimbabwe (RBZ) is advancing the development of a national Green Taxonomy Framework aimed at channelling capital toward environmentally sustainable economic activities and standardising green finance practices across the banking sector.
The framework is designed to establish a common classification system for environmentally sustainable projects, mitigating risks of greenwashing and facilitating the mobilisation of sustainable finance.
“The Reserve Bank is collaborating with key stakeholders through the Multi-Disciplinary Financial Stability Committee on the development of a Green Taxonomy Framework, which will establish a common classification system for environmentally sustainable economic activities,” RBZ Governor John Mushayavanhu said in the latest Monetary Policy Statement.
“The framework is expected to promote transparency, enhance the mobilisation of sustainable finance, support climate-resilient investments, and facilitate the alignment of Zimbabwe’s financial sector with emerging international sustainable finance standards and best practices.”
The development of the taxonomy builds upon ongoing sustainable banking initiatives within the country’s financial system.
Mushayavanhu said several financial institutions are participating in the Sustainability Standards and Certification Initiative (SSCI) to integrate environmental, social, and governance (ESG) criteria into their governance and risk management structures.
As of June 30, 2026, he said 19 institutions, including the central bank itself, 13 banking institutions, two development financial institutions, two deposit-taking microfinance institutions, and one bank holding company, were actively participating under the SSCI framework.
He highlighted that two banking institutions have already achieved full SSCI certification.
The central bank has also completed its internal SSCI requirements and is scheduled to receive official certification from the European Organisation for Sustainable Development by the end of August 2026, positioning the regulator to lead sustainability mainstreaming across the financial sector.
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