Soluti Finance East Africa recently hosted a three-day ESG Workshop from October 15-17, 2024, in Mbarara, Uganda. The event brought together 59 leaders from 23 microfinance institutions (MFIs) to discuss practical approaches to embedding Environmental, Social, and Governance (ESG) principles into their operations.
Against the background of evolving regulatory requirements and mounting environmental challenges, the workshop underscored the urgency of sustainable finance solutions, particularly in rural and agricultural economies. Through expert presentations, roundtable discussions, field visits, and peer learning sessions, participants gained deeper insights into ESG compliance and best practices.
The workshop covered a range of critical ESG topics, including:
Regulatory Compliance: Understanding the latest ESG regulatory frameworks and expectations for microfinance institutions.
Climate-Smart Finance: Exploring the impact of climate change on agricultural finance and solutions such as weather-based index insurance and green financing products.
Peer-Learning: Learning from successful ESG integration models, with case studies from BIMAS Kenya and EBO SACCO.
Sustainable Agriculture Practices: Engaging in field visits to four partner institutions implementing climate-smart farming, biogas production, and water conservation techniques.
Industry experts held a panel discussion on the challenges and opportunities of ESG adoption in microfinance. Panelists emphasized that ESG is not merely a compliance requirement but a strategic advantage that enhances financial resilience, investor confidence, and client protection.
By the end of the workshop, participants developed draft ESG action plans customized for their institutions. The event closed with a resounding call to embrace ESG as a long-term commitment, fostering continuous learning, collaboration, and innovation in sustainable finance.
As ESG principles gain traction in the financial sector, this workshop reinforced the key role of microfinance institutions in driving sustainable development and financial inclusion across East Africa.