Financing Transitions: Financing Transitions: Research into 'The Role of the Financial Sector in Accelerating Sustainable Transition'

How can the financial sector better support and scale sustainable sectoral transitions? This was the central question of the Financing Transitions research project, carried out by Dr. Diane Zandee RC (Nyenrode Business University) together with Lotte Groen and Martijn de Wit (TNO). In an interactive workshop, they tested key barriers and potential solutions with a broad group of representatives from the financial sector.

The results clearly highlight where the challenges lie. Major barriers to financing transitions towards climate neutrality include an uneven balance between risk and return, policy and regulatory risks, and challenges related to culture and governance. Yet the research also points to promising solutions, such as risk mitigation and diversification, investment bundling and upscaling, impact measurement (measuring social and environmental outcomes), and adapting to and mitigating policy and uncertainty risks. Other opportunities include market creation, early involvement of investors, and aligning financial returns with impact performance.

During the workshop, participants discussed a variety of real-world examples that demonstrated what is already possible today and which new financial products and structures are emerging. This led to an inspiring conversation on how the sector can play a concrete role in building a more sustainable economy.

The aim of the research? To accelerate the learning curve of the financial sector and help stakeholders strengthen their contribution to transitions. Diane Zandee explains: “We want to show that the financial sector’s role is not just about managing risks, but also about enabling and accelerating sustainable change.”

For Nyenrode, this research fits seamlessly with the active role the university wants to play in driving market sustainability. As a B Corp-certified institution, Nyenrode combines academic excellence with practical impact. Its core values — Leadership, Entrepreneurship, and Stewardship — are at the heart of this international collaboration. Zandee emphasizes: “We need leadership and entrepreneurship to invest in sustainable change with courage and vision.”

Want to know more? Contact Diane Zandee (Nyenrode) or Martijn de Wit (TNO) for more information about the research and its findings.

You can read the report here: Financing Transitions