Panel asserts proven ability of green growth to drive competitive advantage

The opening day of the 8th Sharjah Investment Forum (SIF 2025) convened international experts for a high-level panel titled “Green is the New Gold: Competitive Advantage through Sustainable Investment” to examine how sustainability is transforming the foundations of economic competitiveness.

Moderated by Jacopo Dettoni, Chief Editor of the Financial Times’ fDi Intelligence and member of the WIC Executive Board, the discussion brought together leading voices from academia, finance, trade, and international labour to demonstrate how green growth creates both profit and resilience.

Dettoni opened the session by challenging speakers to assess whether “green growth” could truly translate into competitive advantage rather than compliance.

Nobel Peace Prize laureate Professor Raekwon Chung, Ambassador of Climate Change and Board Member of the Ban Ki-Moon Foundation, stressed that the climate movement must better engage consumers. “After three decades of climate negotiations, my conclusion is clear: the missing piece is the consumer,” he said. “We are responsible for emissions, not governments.”

He shared examples of entrepreneurs transforming sustainability into profitability, such as organic cashmere made from naturally shed Mongolian wool and solar-powered, carbon-free cotton cultivation. “Luxury houses are willing to pay a premium for the first carbon-free organic cotton because it strengthens their brand power,” he added. “This proves that sustainability can be a source of economic value.”

Professor Lisa Sachs, Executive Director of the Columbia Center on Sustainable Investment (CCSI), noted that the main challenge lies in financing sustainable infrastructure in developing economies. “What keeps me up at night,” she said, “is how to finance and design systems that deliver affordable, resilient and reliable access to energy and mobility. This is the backbone of competitive clean industries.”

Highlighting Africa’s untapped potential, she said: “The continent has 60% of the world’s solar potential and 80% of the population without access to clean energy, yet it receives only 2% of global clean-energy financing.” Sachs urged multilateral partners to use guarantees and blended-finance tools to de-risk projects, calling it “both an economic imperative and a moral one.”

From a policy lens, Roslyn Ng’eno, Senior Investment Expert at the AfCFTA Secretariat, described how the African Continental Free Trade Area is embedding sustainability within its legal framework through a binding Protocol on Investment adopted by 55 member states. “Sustainability is no longer optional for Africa. It is a definitive strategy for competitiveness,” she said.

The protocol, she explained, mandates that investment incentives align with climate-sensitive policies and green industrial zones. She also referenced the Africa Green Industrialisation Initiative as a mechanism for preparing bankable sustainable projects. “Our leaders have said: The next phase is implementation,” Ng’eno added.

Addressing the labour dimension, Rie Vejs Kjeldgaard, Director of the Sustainable Enterprises, Productivity and Just Transition Department at the International Labour Organisation (ILO), said: “For us, the question is how to ensure that greening the economy leads to more and better jobs.”

She cited inclusive examples such as a battery-production facility in Oman expected to create over 2,000 jobs, 20% of which are for women, and a biofuel venture in Brazil generating 90,000 jobs across the value chain, many for small farmers and youth. “These show that green growth and decent work can go hand in hand,” she added, underscoring the ILO’s Just Transition framework linking climate action with social equity. Closing the discussion, Hani Idris, Board Member of the Islamic Development Bank Group (IDB), emphasised risk mitigation as central to unlocking sustainable investment in emerging markets. “Credit and currency risks remain the biggest barriers,” he said. “Guarantees, risk-sharing mechanisms and political-risk insurance are essential for attracting long-term finance.”

He also called for stronger regulatory frameworks, innovative financial instruments, and more robust project-preparation pipelines to ensure green investments are viable and scalable.

The panel concluded that sustainability is no longer a moral add-on but a core driver of business advantage. From Mongolia’s organic cashmere to Africa’s renewable corridors, from industrial policy to job creation, evidence shows that green investment delivers both ethical and economic dividends. “While some regions debate the costs of transition, those that embrace green innovation will define the next wave of global competitiveness,” Dettoni concluded.

Organised by the Sharjah FDI Office (Invest in Sharjah) in partnership with the World Association of Investment Promotion Agencies (WAIPA) and the UAE Ministry of Investment, the two-day event is being held at the Al Jawaher Reception and Convention Centre.

WAM