London calling: green finance, belt and road the latest China business push

London is gearing up to promote its green financial offerings to Chinese companies involved in the flagship “One Belt, One Road” economic development initiative, as well as projects needing funds to combat pollution in the mainland, according to one of the UK capital’s leading finance officials.

Catherine McGuinness, deputy chairman of the policy and resources committee for the City of London, said it is keen on “promoting green finance in China by setting standards and platforms for companies to issue green bonds and other products”, to raise funds to finance infrastructure projects that could help cut emissions.

She said Britain and mainland China have already been talking closely about setting up joint international standards and studies on how best to manage green projects.

Beijing has made infrastructure projects focused on cleaner energy and water an urgent national priority.

The belt and road initiative, launched in 2013 by China, is aimed at improving infrastructure in some 60 countries from Asia to the Middle East and Europe, with projects ranging from power plants, roads and railways to trade promotion.

McGuinness said many of those projects will have anti-pollution features at their heart, which fits in well with green financing, for which London is a market leader worldwide.

Finance is classified as “green” if it aims to reduce carbon emissions or raise resource efficiency.