WASHINGTON – Investment in green technologies, clean energy and climate adaptation continues to grow, and financial institutions are taking an increasing interest in this field. But many of these investments never reach communities of color and low and moderate income communities that are most in need of both the environmental and economic benefits of such investments, a new report from The Greenlining Institute finds.
“Lots of money is going into clean energy and other green technologies and programs, but far too few of those dollars reach the communities that need them most,” said report co-author Rawan Elhalaby, Greenlining’s Senior Economic Equity Program Manager.
The report, Investing in Climate Equity, looks at how banks and financial institutions presently support green investments in low and moderate income communities and communities of color, and what might be gained by incorporating green investments into the Community Reinvestment Act
It also considers how local and state governments have incentivized investments by financial institutions in green technologies in underserved communities and how such investments can translate into wealth and asset building opportunities for these communities. Finally, it makes recommendations for banks and community development financial institutions, urging them to be bolder and more specific about using green investments to help communities of color become healthier, more sustainable and more prosperous, and proposes regulatory changes to help make this happen.
To learn more about The Greenlining Institute, visit www.greenlining.org.