transition finance

Panellists at the sixth China Fixed Income Summit discussed how the industry views green and transition finance from a practical standpoint.

Chaoni Huang, at the Hong Kong Green Finance Association and BNP Paribas, tells FA that taxonomy and definition uncertainties are hampering Apac’s transition finance market, and that growing interest and standardisation attempts should help.

When it comes to sustainable investment, Asia is critically lagging. Sustainable Finance Asia Forum 2024 considered the best solutions for plugging the shortfall.

Asia’s infrastructure sector is at a crucial stage of growth and transformation, offering appealing investment prospects. Long term partnerships will be key.

The regional leader in green bonds will keep looking at labelling and internationally aligned standards, such as the common ground taxonomy with the EU, experts discussed at ICMA's inaugural summit. Meanwhile transition finance taxonomies are being rolled out in Chinese provinces.

Interest in transition finance is growing, however, despite some countries, including Japan, taking a lead, such vehicles face many challenges, such as low comparability and tech uncertainty.

Bank of China has tapped the European bond market to finance steel projects in Hebei province, in a first of a kind issuance involving a financial institution.

Read the top considerations of Asia’s leading market movers, when it comes to sustainable finance.