Is it working?

Uptake is growing and early evidence suggests improved consistency in what is marketed as “green” or “sustainable”, supporting better risk assessment and reducing greenwashing risks. The next step is to embed the taxonomy more directly into supervisory expectations, public‑sector investment criteria and climate‑finance programmes so that it materially influences capital allocation decisions.

Actions

The taxonomy has been developed and released; regulators have issued guidance and engaged industry on its use in disclosures and product development. They are progressively incorporating taxonomy‑based considerations into supervisory and policy work, including climate‑risk assessments and infrastructure‑financing initiatives.

Are there plans?

Authorities plan regular review and refinement of the taxonomy, stakeholder engagement on its application and closer integration with climate‑risk disclosure, transition‑planning expectations and green or sustainability‑linked instruments in both the public and private sectors.

Is it on the agenda?

The taxonomy is treated as a priority within official sustainable finance workstreams coordinated by National Treasury, SARB and the FSCA. It is referenced in Budget Review 2026’s discussion of climate‑risk resilience, climate‑finance mobilisation and carbon‑market development.

Goals

Create a national green‑finance taxonomy that provides standardised definitions for environmentally sustainable activities to guide investment, disclosure and supervision and support scaling of sustainable finance.

Documents

• Document One

References

• Reference Link One
• Reference Link Two
• Reference Link Three

Departments / Govt Institutions

Financial Sector Conduct Authority (FSCA) National Treasury South African Reserve Bank (SARB)