Shipping industry experts discussed the current state of the sector, as well as a roadmap to a more sustainable future at the 10th City of London Biennial Meeting held at the IMO on June 12th and 13th 2023. eShipfinance.com co-founders Marina Tzoutzouraki (CFO) and Tarun Gulati (CEO) were invited to share their insights as panellists by their alma mater, Bayes Business School (formerly Cass) where they pursued their MSc Shipping, Trade & Finance in 1986 and 2002 respectively.
Some key highlights from discussions and debates included:
Waves of change are sweeping through the shipping industry as it adapts and transforms, in a bid to meet regulatory criteria and align with global decarbonization targets.
With stricter regulations and mounting pressure, some traditional ship finance banks are cautious and selective, reassessing and scaling back their involvement in the sector. Others remain resilient, focusing their efforts on large corporate transactions and redefining their strategies by prioritizing ‘greener’ ship financing.
This paradigm shift has paved the way for alternative finance to earn its rightful place as a vital piece of the puzzle, ensuring that capital is always made available to support the ever-evolving needs of the industry in innovative ways.
Amid growing environmental concerns, stakeholders across the value chain of global ship finance are acknowledging the urgent need to actively contribute towards achieving the 2050 net-zero decarbonization targets. A collective effort is crucial, with governments, regulators, industry associations, financial institutions, and individual players collaborating to provide the necessary support and infrastructure. Furthermore, policy changes at both national and international levels are pivotal to incentivize sustainable practices and ensure that the industry can navigate these challenging waters ahead and sail to success.
