Summary · why it matters
Boston Consulting Group, or BCG, the World Business Council for Sustainable Development, or WBCSD, and the Council for Inclusive Capitalism have jointly developed the Just Transition Financing Framework to connect financial structures with tangible impact, particularly by helping SMEs and MSMEs access opportunities, adapt, and compete in the green and digital economy. The framework consists of seven parts covering funding sources, types of capital, intermediaries and partners, support mechanisms, funding recipients, ultimate beneficiaries, and use of funds. There are four groups that must be taken into account: workers, consumers, SMEs and MSMEs, which account for roughly 99% of businesses and contribute about 35% of GDP, and communities. This concept was one of the key topics at the ESG Symposium 2026 under the theme ASEAN in Action: Powering Inclusive Green Transition on September 1, 2026 at SCG headquarters, featuring case studies from Saraburi Sandbox, Indorama Ventures, or IVL, which issued a Sustainability-Linked Bond worth 10 billion baht, and Petronas, which has more than 1,022 suppliers participating in its programme through more than 55 training sessions, with 95% of participants reporting that they genuinely gained knowledge and developed skills. Conclusions from the workshop indicated that the design of Just Transition Financing should begin with the beneficiaries and the purpose of the funding, and then determine the appropriate mechanisms, intermediaries, types of capital, and funding sources, while using Blended Finance to reduce investment risk for SMEs.
Indorama Ventures PCL
