Action is needed by diverse actors, often working in unfamiliar configurations, to harness digitalization to advance citizen-centric finance, aligned with the SDGs. Gone are the days when finance could be governed independently of the consideration of longer-term sustainability. Yet information, capabilities, interests and authorities are widely dispersed, at best only suited for addressing yesterday’s financing challenges. Augmenting and connecting the dots between such capabilities is critical to financing the SDGs.
The basis of financing decisions is evolving from top-down analysis to bottom-up data analytics and human-centred approaches reflecting citizen’s concerns, as savers, policy-holders and tax-payers. Financial innovation is rising to the challenge of integrating science and citizen’s feedback into new products, services and enterprises. Likewise, advancing the Task Force’s call to action into practice requires the reframing of many governance norms that have too often sought to strictly delineate regulation from policy, market from policy innovation, and both from citizen action. Central banks cannot leave inequality and climate change, for example, to their social development and environmental policy counterparts. Regulating digital currencies, similarly, should not be too narrowly focused on financial stability and money laundering only.
Action is needed by diverse actors, often working in unfamiliar configurations, to harness digitalization to advance citizen-centric finance, aligned with the SDGs. Gone are the days when finance could be governed independently of the consideration of longer-term sustainability. Yet information, capabilities, interests and authorities are widely dispersed, at best only suited for addressing yesterday’s financing challenges. Augmenting and connecting the dots between such capabilities is critical to financing the SDGs.
The basis of financing decisions is evolving from top-down analysis to bottom-up data analytics and human-centred approaches reflecting citizen’s concerns, as savers, policy-holders and tax-payers. Financial innovation is rising to the challenge of integrating science and citizen’s feedback into new products, services and enterprises. Likewise, advancing the Task Force’s call to action into practice requires the reframing of many governance norms that have too often sought to strictly delineate regulation from policy, market from policy innovation, and both from citizen action. Central banks cannot leave inequality and climate change, for example, to their social development and environmental policy counterparts. Regulating digital currencies, similarly, should not be too narrowly focused on financial stability and money laundering only.
