BAKU—The Central Bank of Azerbaijan is in the process of developing a “green taxonomy” framework aimed at promoting green finance and supporting sustainable economic practices, announced Mukhtar Babayev, COP29 President-Designate and Azerbaijan’s Minister of Ecology and Natural Resources, during a conference on “The Role of Small and Medium Business in the Green Economy” in Baku.

According to Azerbaijan State News Agency, Babayev highlighted that the development of the green taxonomy will classify economic activities according to green standards. This classification is expected to help enterprises gain more support for sustainable and environmentally friendly investments. The initiative is particularly targeted at enhancing the capability of small and medium-sized enterprises (SMEs) to utilize financial resources more effectively for their green transition.