of Monetary Authority of Singapore (MAS) and the People’s Bank of China (PBC) are advancing cooperation in green finance and transition finance.
The announcement follows the second China-Singapore Green Finance Task Force (GFTF) meeting held on 20 May 2024.
Established in 2023, GFTF focuses on increasing the flow of green and transition finance between Singapore, China and the region.
The latest meeting highlighted progress in several key areas. MAS and PBC will align Singapore’s Asian Taxonomy (SAT) with the International Platform for Sustainable Finance’s Common Ground Taxonomy (CGT) by the end of the year, and ensure that CGT-aligned green finance bonds and loans cross-border. The aim is to promote publication.
Industry capacity building sessions on transition taxonomy were also conducted to improve understanding of transition activities in both countries.
Additionally, Singapore Exchange and China International Capital Corporation are collaborating on a green corridor to support green capital flows, initially focusing on the issuance of green panda bonds.
MAS is funding this effort. CapitaLand Investment has issued the first Sustainability Linked Panda bond under the Green Corridor, which is expected to pave the way for more such financings.
In the technology field, Metaverse Green Exchange and Beijing Green Exchange are developing carbon accounting and decarbonization assessment platforms.
The platform aggregates carbon emissions data of Chinese companies and helps build green finance solutions. The feasibility of aligning decarbonization assessment methods with CGT and SAT is also being investigated.
The conference also discussed emerging areas of interest, including nature and biodiversity, interoperability of ESG data models, and the use of AI and data analytics. Green print (Gprnt) and Project NovA! Facilitate the collection, access, and use of high-quality ESG data to advance greening and transition efforts.
Jillian Tan
Gillian Tan, Assistant Managing Director (Development and International) and Chief Sustainability Officer at MAS and Co-Chair of the GFTF, said at the conference:
“GFTF is an important platform for China and Singapore to jointly develop concrete and meaningful initiatives to promote green finance cooperation.
The range of deliverables announced today is a testament to the strong collaboration between MAS, PBC and industry partners in both countries and our shared ambition to mobilize the finance needed for the region’s effective transition to net zero. is. ”
