A goal of the taxonomy is to provide a clear framework for assessing the level of sustainability of one’s business activities. This way, the taxonomy gives you an unambiguous score on which to improve. 

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A high taxonomy score may lower your cost of capital. The taxonomy score of banks and institutional investors’ portfolios will affect their cost of borrowing, and most banks already provide lower interest rates to companies that operate more sustainably.  

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With a high taxonomy score, you may be able to:

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• Access lower-cost capital
• Increase investor attractiveness
• Demonstrate ESG performance to stakeholders
• Issue Green Bonds
• If listed, be included in mutual funds labelled as sustainable/green

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