Portugal Official Says Sustainable Finance Has Yet to Deliver Needed Investment

Banco de Portugal Vice-Governor Clara Raposo urged a stronger link between sustainable-finance products and business investment, saying economies need capital for transformation as several priorities compete.

At the EFFAS 2026 CESG Conference Lisbon on Oct. 7, Raposo described the expansion of sustainable finance as uneven, with growth slowing in some markets. “The growth of sustainable financial products has not yet translated fully into the scale of productive investment required,” she said.

Raposo called for financing to look past labels and commitments, supporting credible changes in business operations, resilience and lasting prosperity. She cited geopolitical fragmentation, security concerns, limited fiscal space, energy costs and industrial competitiveness as pressures on investment decisions.

For capital allocation, she named infrastructure and demographic adaptation alongside decarbonization, defense and digitalization.