As part of the European Green Deal, the EU taxonomy contains technical assessment criteria for categorising sustainable economic activities. It can therefore be regarded as a classification system for controlling and managing capital flows.
Luis-Miguel Gutierrez Demmel, expert on the EU taxonomy at KfW IPEX-Bank, offers insights into how the classification system works, explains how relevant activities are surveyed and evaluated, and reports on challenges regarding the operationalisation of loan business.
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