Bridging equity and sustainability in just transition finance

Just transition finance offers a transformative opportunity to drive equitable economic growth while addressing the multifaceted challenges of transitioning to a low-carbon future (ILO, 2024). By strategically directing financial resources, it not only fosters job creation in green industries but also supports skill development for displaced workers and encourages the establishment and expansion of sustainable enterprises. These targeted investments empower marginalized communities, particularly those in sectors most vulnerable to climate transitions, by creating pathways to new employment opportunities, opportunities, entrepreneurship, and local economic resilience (European Trading Foundation, 2023).