Impact finance for a sustainable recovery

Impact finance is concerned with the environmental and societal externalities of economic activities. Its aim is to lead traditional finance towards greater responsibility for the necessary transition of society. Thus, priority would be given to financing projects that reduce the carbon footprint, improve biodiversity, facilitate a return to employment or access to housing. It is not enough that these investments do not have a negative impact on society, they must improve the situation and contribute to the common good. This raises a number of questions and brings us to the ethical and political dimension of the economy. Who defines the common good? What are the criteria for assessing an investor’s willingness to participate in society’s transition? On what basis should projects be compared? How to measure impact? The example of green finance shows that the definition of the object is fundamental, and sometimes conflicting, and that international harmonisation is necessary.