The Southern African Development Community (SADC), in partnership with the United Nations Development Programme (UNDP), convened a regional workshop on 9th October 2026 in Gaborone, Botswana to advance the development of a common approach for identifying investments that support environmental sustainability and sustainable development across the region.
Supported financially by the European Union (EU) through its Sustainable Finance Advisory Hub, the initiative aims to develop the SADC Common Framework for Sustainable Finance Taxonomies. The Framework will help governments, banks and investors assess whether economic activities and projects meet agreed sustainability criteria. This could help guide investment towards areas such as renewable energy, sustainable agriculture and other activities that contribute to the region’s development, while improving transparency and consistency in how sustainable investments are identified across SADC Member States.
The Framework will offer voluntary guidance rather than impose a single set of rules on all Member States. This means that countries will be able to take their national circumstances and development priorities into account while working towards a common understanding of sustainable finance. By making it easier to assess and compare investments across countries, the Framework also aims to encourage cross-border investment and mobilise funding for projects that address climate change and support sustainable development.
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Speaking at the workshop, Dr Yolanda Sabino, Director of Finance, Investment and Customs at the SADC Secretariat, emphasised the importance of regional cooperation in advancing sustainable finance. She highlighted the need for the Framework to promote consistency and comparability between national approaches while respecting the different circumstances and development priorities of Member States.
Mr Maxwell Gomera, UNDP Resident Representative in South Africa and Director of the UNDP Africa Sustainable Finance Hub, stressed the importance of translating sustainable finance policies into real investment opportunities and practical development benefits. He also highlighted the need to improve access to sustainable finance for small and medium-sized enterprises (SMEs).
The Framework will initially focus on climate change mitigation and adaptation. A preliminary regional assessment identified several sectors for consideration, including energy, industry and extractives, agriculture and forestry, transport, buildings and construction, and water and waste management. The Framework will also consider how to assess the environmental benefits of projects, ensure that activities do not cause significant harm to other environmental objectives, uphold basic social safeguards and recognise activities that are transitioning towards more sustainable practices.
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Following consultations on the Inception Report, the initiative will proceed with developing a draft SADC Common Framework, which will undergo further technical consultations and validation with Member States.
Led by the SADC Secretariat, with technical support from UNDP and financial support from the EU, the initiative marks an important step towards strengthening sustainable finance in Southern Africa. It aims to make it easier for countries and investors to identify credible sustainable investment opportunities and direct funding towards the region’s climate and development priorities.