Scottish Financial Enterprise (SFE) said that Edinburgh has strengthened its position as a leading green financial centre, according to the latest Z/Yen Global Green Finance Index, a leading measure of international green financial centres.

Edinburgh rose one place in the rankings to 18th, ahead of Frankfurt, Madrid and Washington and just behind Brussels and New York.

SFE said: “This positive result aligns with the ambitions of the sector growth strategy launched in late 2023 and the publication of the final report from the Scottish Taskforce for Green and Sustainable Finance in late 2024.”

SFE CEO Sandy Begbie said: “To have Scotland’s capital city continue to improve its rankings among the leading financial centres highlights the value of financial services sector to the Scottish economy.

“Our outstanding pool of talent, well-established ecosystem and world leading universities, combined with our relationship with London, provide a distinctive proposition for businesses looking to establish themselves in the UK market.

“However, there is still work to be done if we are to achieve our targets of making a Scotland a global leader in green finance, and our focus remains on implementing the key recommendations of the Scottish Taskforce for Green and Sustainable Finance.

“We will need the continued support of UK and Scottish governments to ensure that we have the framework to meet these targets and with Edinburgh set to host Scotland’s investment summit in October we will have the perfect opportunity to highlight the opportunities for growth in Scotland.”

Louisa Knox, SFE board sponsor for net zero, said: “Edinburgh’s improved ranking in the Global Green Finance Index highlights the knowledge and expertise found within the financial services sector in Scotland.

“Scotland’s proactive approach and expertise in green finance provides an opportunity for Scotland to continue to demonstrate leadership in this area.”