What is your own role in the success of the Luxembourg financial centre?
Julie Castiaux. – “ESG is the watermark running through KPMG; from empowering our people to become agents of positive change, to equipping our clients with better tools/advice and services. Over the last decades, KPMG has supported the development of the Luxembourg financial centre by offering tax, advisory and audit services to empower companies and individuals to make better business decisions. Whether helping clients succeed in their business transformation or offer comfort to investors with audit, the impact of Environmental, Social and Governance (ESG) issues are clearer than ever. Our extensive ESG offering underpins the recognition of our responsibility to help build a better future for all. We believe it is key to follow the pace of evolving regulation on ESG topics to ensure that companies follow sustainable practices and governance. Today, with ESG fully integrated within our services, we can better support Luxembourg organisations to succeed in their sustainability journey.
How do you foresee the future of the Luxembourg financial centre, particularly in the light of global economic developments?
“In 2021, a report published[1] by a commission – composed of 24 economic experts and 2 rapporteurs – identified 3 long-term structural challenges: Climate change, economic inequalities, and demographic changes. We are convinced that the Luxembourg financial centre will have an important role to play to help tackle these challenges, mainly through its investment activities which will be able to finance projects in support of these changes. Sustainable finance and economic investments that contribute to mitigating climate change increased since the application of SFDR, which represents a new step 14 years after the first Green Bond issuance on the Luxembourg Stock Exchange. I am confident that Luxembourg – a pioneer in ESG – will remain competitive as it continues to promote ESG initiatives. As a result, the country will keep attracting foreign investors and innovative players in the field of sustainability and ESG-matters. Not merely to do more with the same, but rather adapt, find new opportunities, and be agile in the face of regulatory changes and expectations from stakeholders and society.
What corporate social responsibility initiatives do you support in the Luxembourg financial context?
“CSR is not new for the Luxembourg financial centre. Regarding its ambition to further enhance Luxembourg’s position as the international fund centre of reference, many players on the Luxembourg financial market have set up and integrated CSR activities. Many initiatives have been ongoing for several years, such as the INDR, the IMS, and the House of Sustainability that was created earlier this year. The financial industry must continue to address new regulations aimed at standardising ESG and sustainable investment, which will result in the development of more sustainable products. We recognise the need to be at the heart of these ESG strategies to help overcome pressing challenges. This can only occur by working together with the next generation of talents in this field. At KPMG, we aim to connect the Luxembourgish initiatives, the regulatory development, and the operational impact and opportunities for the Luxembourg Financial Center.”
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