SCRIPT launch: regional policy benchmarking tool for Latin America and South East Asia
SCRIPT has just launched an updated Policy Benchmarking Tool to help banks assess the strength of their deforestation and seafood policies against their peers globally and regionally. It is available as part of the existing Policy Benchmarking Tool and so can be accessed through the login page.
What is SCRIPT?
SCRIPT (Soft Commodity Risk Platform) is a new freely-available system to help financial institutions understand and mitigate the risks associated with financing companies in soft commodity supply chains.
The platform provides unrivalled tools and guidance for financial institutions to establish a robust sustainable financing policy and screen their portfolios to determine the companies and issue areas that pose the greatest risk to their institution.
Deforestation risks are intensifying
Growing awareness of the environmental and social costs of unsustainable soft commodity production is leading to increased governmental, consumer and other stakeholder pressure to reduce deforestation. In turn companies are facing heightened regulatory, reputational, and operational risks, which could affect credit risk or market value if they continue to be associated with deforestation and not rapidly transition to sustainable production and procurement.
Get the facts
of the world's greenhouse gas emissions are driven by deforestation and forest degradation
is the value of tropical forest services to the global economy
Annual turnover at risk due to dependency on commodities linked to deforestation
How does the platform operate?
SCRIPT currently hosts two tools. The Policy Benchmarking Tool assesses the strength of policies against peers, and includes a tool to benchmark the policies of regional banks in Latin America and South East Asia. The Portfolio Risk Tool screens for highest risk clients and issue areas, and offers suggestions for company engagement. Users are able to adjust the tool methodologies to ensure that analysis aligns with their institution’s priorities. Together, these tools enable rapid assessment of risk exposure and efficient mitigation planning based on innovative company datasets.
How does SCRIPT help?
The platform enables you to:
- Identify the business risks associated with financing unsustainable companies;
- Understand and adopt corporate best practices for reducing deforestation associated with soft commodities;
- Effectively engage companies operating in soft commodity supply chains with step-by step engagement guidance.