Propagation and Justification of EU Sustainable Finance Measures through EU FTAs

This chapter details the additional disciplines on trade in services outlined in EU FTAs and their relation to GATS through Art. V(1) GATS. It examines how the consistency under the respective EU FTA compares to the previously assessed consistency under GATS. It explores whether these additional disciplines are sufficiently counterbalanced by respective exceptions applicable to Sustainable Finance. This is supplemented by an assessment on whether these exceptions and other rules in these EU FTAs allow for additional policy space for future EU Sustainable Finance measures. To this end, this chapter assesses the consistency of the EU Sustainable Finance measures under the trade in services disciplines in EU FTAs. Subsequently, it describes the environmental and sustainable development chapters in these EU FTAs. It examines the feasibility of applying these chapters to trade in financial services in general and to EU Sustainable Finance measures in specific. Following this, this chapter assesses the potential application of sustainability and prudential carve-out clauses on EU Sustainable Finance measures. Finally, it describes the actual and possible channels of influence regarding the propagation and justification of EU Sustainable Finance measures through the EU FTAs.