The emerging business-driven case for green affordable housing reveals six (6) drivers of profitability: i) access to international green finance flows for better financing terms; ii) minimized incremental cost through early planning; iii) faster sales through market differentiation; iv) savings on utility bills for owners and renters; v) lowered default rates and superior collateral value for green mortgages; and vi) fiscal and non-fiscal incentives from local or national governments.

IFC has been collecting case studies from private sectors, investors, and governments launching green and resilient affordable housing programs, informed by being involved in the green certification of over 30 million square meters of residential space (of which 50% is in the affordable category).

In the brown bag session organized in collaboration with SDCC, experts from IFC presented and discussed the financial analysis for banks and private sectors including the drivers of financial sustainability. The session demonstrated the tools launched by IFC including EDGE, the Building Resilience Index, and the Pilar Global Housing Platform, for DMCs for the green, resilient, and sustainable building and construction industry.