Sustainable Bond Framework slide image

Sustainable Bond Framework

Recovery and Resilience Plan: A closer look The ROC has placed sustainability at the heart of its Recovery and Resilience Plan, 2021-26 Key strategic goal: Strengthening the economy's resilience and the country's potential for economically, socially and environmentally sustainable long-term growth and welfare. Key initiatives Cyprus intends for sustainable borrowing under Green/Social/Sustainable Instruments to complement the objectives of the Recovery and Resilience Plan. Support schemes to assist households, enterprises and public sector with energy efficiency and renewable investments Investments in the energy upgrade of public buildings / other public infrastructure Incentives for reduction of GHG emissions in agriculture, business and industry Introduction of accessible and smart transport by replacement of conventional stock with zero and low emission vehicles Initiatives to reduce energy poverty in households with disables people Smart and sustainable water management, targeting both water supply and demand Promoting resilience and effectiveness in the public health system Public education system modernisation, upskilling & retraining Initiatives to encourage broader labour market participation Reform of the social welfare system and expansion of benefits to promote social welfare and inclusion • A significant macroeconomic impact In assessing Cyprus's Recovery and Resilience Plan, the European Commission concluded that the plans put forward by Cyprus are "expected to have a deeply transformative effect on Cyprus' economy and society"¹, with a particular focus on green transition and social resiliency. The plan has long term positive implications for economic growth (GDP) and employment rates. Each element of the plan not only ties into the use of proceeds in Cyprus' Sustainable Finance Framework, but also maps to the UN SDGs. Note: 1. https://ec.europa.eu/commission/presscorner/detail/en/ip 21 4624 in % 20 15 10 5 3 1 0 next 2 years 16.5 7 6 3 Accumulated increase of GDP next 5 years next 20 years Increase of employment Source: Ministry of Finance, University of Cyprus 7
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