Overview
ISO/TR 32220:2021 - Sustainable finance: Basic concepts and key initiatives is a Technical Report published by ISO/TC 322 that compiles a non‑exhaustive, internationally‑focused glossary of terms, concepts and initiatives commonly used in the global sustainable finance community. It does not set normative requirements; instead it gathers widely accepted definitions and sources (supranational organizations, regulators, initiatives) to improve clarity and communication across financial regulators, commercial and development banks, asset managers, investors and researchers.
Key topics covered
The report organizes content into five practical clauses and an informative annex:
- Clause 4 - Basic concepts: core definitions such as sustainable finance, sustainability, Sustainable Development Goals (SDGs), sustainability taxonomy, green finance, climate finance, social finance, blended finance, microfinance, official development assistance (ODA), ESG investing, ESG integration, socially responsible investment (SRI), impact investment, green technology, greenwashing, and sustainable supply chain.
- Clause 5 - Principles, guidelines and regulation: overview of policy and regulatory frameworks relevant to sustainable finance (summarized, referenced sources).
- Clause 6 - Financial products and services: describes product categories and services used in sustainable finance markets.
- Clause 7 - Verification, reporting and disclosure: covers verification approaches, reporting and disclosure terms used to support transparency.
- Clause 8 - International initiatives and organizations: lists major global initiatives and bodies that shape sustainable finance practice.
- Annex A: lists related ISO committees and directly related standalone standards.
Note: the report emphasizes source priority by geographic coverage and explicitly states that included definitions are widely used but not formally endorsed as ISO normative text.
Practical applications
- Harmonizing terminology across policy documents, tender specifications, investor communications and tender/procurement materials.
- Supporting internal training, onboarding and cross‑team alignment on ESG, SDGs, taxonomies and green/climate finance concepts.
- Informing product design, risk assessments and disclosures for green bonds, sustainability‑linked loans, impact investments and blended finance structures.
- Guiding due diligence and anti‑greenwashing checks by providing commonly accepted reference definitions.
Who should use this standard
- Financial regulators and policymakers
- Development and commercial banks
- Asset managers, institutional investors and pension funds
- Sustainability and compliance officers
- Standard setters, researchers and international organizations
Related standards
Annex A of ISO/TR 32220 points users to related ISO technical committees and standalone ISO standards relevant to sustainable finance and procurement, enabling practitioners to follow up with normative guidance where applicable.
Keywords: ISO/TR 32220:2021, sustainable finance, ESG, sustainability taxonomy, green finance, climate finance, SDGs, greenwashing, impact investment.