Hong Kong is ‘Asia’s sustainable finance centre’, thanks to green bond growth and carbon-credit trading, bankers say
- Rapid growth in green bonds and the recent launch of carbon-credit trading by HKEX put Hong Kong into a ‘pivotal’ role, bankers say
- China needs to raise about US$19 trillion from green bonds and other environmentally friendly funding tools to become carbon neutral by 2060
Hong Kong has pledged to reach carbon neutrality by 2050. As part of its efforts to achieve this goal, the government over the past few years has issued green bonds worth US$10 billion as of August, according to a government report.
A green bond is a fixed-income financial instrument designed to support projects with environmental benefits, such as clean energy or water treatment.
“The Hong Kong government is a leading issuer in green bonds for the construction of green yield curve, and this can further develop Hong Kong as a green finance centre globally,” said Rhee Jung-ho, president and CEO of Mirae Asset Global Investments (HK).
Rhee is one of 200 senior bankers who will attend the Global Financial Leaders’ Investment Summit in Hong Kong from tomorrow through Thursday. A panel discussion on Wednesday, to be moderated by Nicholas Aguzin, CEO of bourse operator Hong Kong Exchanges and Clearing (HKEX), will focus on the potential of sustainable finance.