June 2024

HONG KONG

Green and Sustainable Green theme dominatedDebt Market Briefing 2023 GSS+ bonds issued andarranged in Hong Kong
USD18.2bn aligned
volume of GSS+ debt
originating in HK in 2023,
a year-on-year increaseof 236%

Hong Kong has formulated its own climate goals and strategies
in response to the Paris Agreement and the Central People’s
Government decarbonisation agenda. This originated with thelaunch of Hong Kong’s Climate Action Plan 2030+ in 2017, which set
three decarbonisation targets: absolute emissions, per capita emissions,and per GDP emissions. In 2021, the updated Hong Kong Climate Action
Plan 2050 consolidated these targets into reducing absolute emissions
by 50% against a 2005 baseline by 2035, and neutrality before 2050.
In conjunction, the HKSAR Government committed approximately
HKD240bn (USD31bn) to climate change mitigation and adaptation overthe next 15 to 20 years.
The HKSAR sustainable debt market has achieved significant
growth in both relative and absolute terms. In 2023, aligned
volume of GSS+ debt originating from HKSAR reached USD18.2bn,
representing a year-on-year (YOY) increase of 236%. Most of this debt
(USD15.6bn) was issued under the green theme, while the social theme
accumulated USD2.6bn.
In 2023, the HKSAR Government was the fourth largest source of aligned
government green bonds (behind the United Kingdom, Germany, andItaly), and is the fifth largest cumulative government green bond issuer. It
issued 92% of the green bond volume (USD14.4bn), while the remaining
portion originated from financial corporate entities.

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

Hong Kong GSS+ volumes reach new highs in 2023
20
Social
15

Sustainability
Green

10

USD Billions

This is the sixth iteration of the Climate Bonds
Hong Kong Sustainable Debt Market Briefing,produced by the Climate Bonds Initiative (Climate
Bonds), in association with the Hong Kong
Monetary Authority (HKMA) and Hong Kong Green
Finance Association (HKGFA), and with support
from Standard Chartered Bank. Using Climate
Bonds’ green, social, sustainability, (GSS) and sustainability-linked bond
(SLB) (collectively GSS+) datasets based on place of risk, this series ofreports provides a comprehensive overview of Hong Kong’s sustainabledebt market at the end of 2023.

502016 2017 2018 2019 2020 2021 2022 2023
Source: Climate Bonds Initiative

At the policy level, the HKSAR Government has introduced various
initiatives to support decarbonisation efforts and further capital
mobilisation for green activities. The Zero-Carbon-Ready Building
Certification Scheme was launched in 2023 by the Hong Kong Green
Building Council (HKGBC) to help mobilise financing towards green
building projects with clear and credible decarbonisation targets. The
HKSAR Government’s green bond programme has made it the largest
government green bond issuer in the Asia-Pacific region, funding
initiatives such as the recently launched hydrogen-fuelled bus pilot
schemes within public transportation.
This report is based on data captured by Climate Bonds as of 31 December
2023. Notes on the scope of data, and changes to reporting practices, areavailable in Appendix 1.

1About the Climate Bonds Initiative
Climate Bonds is an international organisation working to mobilise
global capital for climate action. It promotes investment in projects
and assets needed for a rapid transition to a low-carbon, climateresilient, and fair economy. The mission focus is to help drive down
the cost of capital for large-scale climate and infrastructure projects
and to support governments seeking increased capital markets
investment to meet climate and greenhouse gas (GHG) emission
reduction goals. Climate Bonds conducts market analysis andpolicy research; undertakes market development activities; advises
governments and regulators; and administers a global green bondStandard and Certification scheme.

Hong Kong sustainable debt scorecard

Year

Green

Social<2019

7.31bn2020

2.08bn2021

10.84bn2022

3.45bnSustainability

1.55 bn
1.43 bn2023

15.63bn

2.56 bn

Total

39.30 bn

3.99 bn0.54 bn
2.10 bn

Note: These figures are representative of deals in alignment with Climate Bonds
database methodologies (Appendix 1).

1. Green

Buildings and Land Use remain most popular use ofproceeds categories

Overview
Green bonds are debt instruments used to financeprojects that have positive environmental or climate
benefits. Most bonds issued under the green theme havegreen Use of Proceeds (UoP) which will be used to financeor re-finance eligible green projects. Internationally accepted green bondstandards include the International Capital Markets Association Green
Bond Principles (ICMA GBP) and the Climate Bonds Standard Version 4.1.

Water

ICT

Industry

Land Use

Transport

Building

Energy

Waste

100%
80%
60%
40%

Market analysis
In 2023, USD15.6bn of green debt originating from Hong Kong was
confirmed to be in alignment with the Climate Bonds GBDS Methodology(aligned). Mainland China maintained its lead as the largest source ofaligned green bonds globally for the second consecutive year.

Hong Kong reaches top ten by USD volume in 2023
60

40

20%
0%
2019

2020

2021

2022

2023

Source: Climate Bonds Initiative

Low-Carbon Buildings and Land Use UoP are the primary beneficiaries
of Hong Kong issuers in 2023 with green buildings making up nearly athird (USD4.4bn) of the volume. However, the greatest YOY increase involume was in debt earmarked for Land Use UoP, which grew 468% to
USD3.2bn from USD0.56bn in 2022.

Climate Bonds Green Bond
Dataset Methodology

20

ly
Fr
an
ce
Ne Spati
Ho her n
ng lan
Ko ds
ng
SA
R

l

Ita

na

UK

at
io
pr
an

Su

Ge

US
A

0

Ch
in
a
rm
an
y

USD Billions

Adaptation

Source: Climate Bonds Initiative

While there was a reduction in green bond volume YOY in key
markets including China, the USA, the Netherlands, as well as
supranational issuers, HKSAR’s debt market exhibited the largest growth
relative to its historical performance. Its aligned volume in 2023 reached
the global top ten for the first time with impressive YOY growth of 173.3%.
As of the end of 2023, the cumulative aligned volume of green debt
originating from Hong Kong stood at USD39.3bn; while the USA remainedin the cumulative volumes top spot with USD454.4bn followed by
China with USD372bn.
Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

Climate Bonds screens all self-labelled debt instruments against
the Climate Bonds Green Bond Dataset (GBDS) Methodology(Appendix).3 Inclusion in Climate Bonds GBDS indicates that there ispublicly available evidence to support the bond’s general alignment(aligned green bonds) to the Climate Bonds Taxonomy. By applying
the standard methodology, this screening exercise allows crossmarket comparison and global application.

Green bond indices
Various index providers have created green bond indices whose
composition is informed by inclusion in the Climate Bonds GBDS.
Examples include the J.P. Morgan ESG (JESG) indices, Solactive
Green Bond indices, FTSE Chinese (Onshore CNY) Green Bond Index,
and the Ping An Asset Management China Green Bond fund.4,5,6,7
Inclusion into the GBDS indicates general alignment of securities
with the Climate Bonds Taxonomy, an internationally recognised
standard for green projects, activities, and expenditures. By doing so,
it ensures that all bonds are assessed on an equal basis.

2

Spotlight: HKSAR Government Green Bond Programme (GGB Programme)
The HKSAR Government has led the government GSS+ market in the
Asia Pacific region and dominates its own market. This is significant
because government issuers can influence the shape of their local
GSS+ markets, as they tend to issue at scale and facilitate the entry
of private capital. HKSAR Government green bonds have generated
the immense growth in aligned volume originating from Hong Kongin 2023, accounting for over USD14.4bn and cumulative volume
of over USD24.2bn.
In 2023, HKSAR GSS+ volume was driven by growth in nonfinancial corporate issuance volume of 31.8% YoY, and record
single year growth of USD1.4bn in HKSAR Government volume,
which comprised 92.4% of the total volume.

Although the phasing-out of pandemic restrictions depressed themacroeconomic environment and contributed to low issuance of
non-government volumes in 2022 and 2023, historically, HKSAR has
always had a diverse issuer base. Beyond government green issuance,
Climate Bonds also recorded near USD1.2bn worth of volume fromnon-financial corporate issuers. AMPD Energy also issued a green
loan worth USD8m to help reduce on-site carbon footprint within theconstruction sector by financing battery storage systems to decrease
the usage of on-site diesel generators.

HKSAR non-government debt volume grows 31.8%
while government debt increases 466.8%
Government

HKSAR leads cumulative government issuanceacross Asia-Pacific

Government-Backed Entity
16

25
Sustainability

20

Non-Financial Corporate

Green

Financial Corporate

Development Bank

12

15
8
USD Billions

5

0

di

a

2019

2020

2021

2022

2023

In

d
Ze
al

an

or
e

4

Ne
w

ng
ap
Si

do

ne

si

nd
In

la
ai
Th

SA
HK

a

0

R

USD Billions

10

Source: Climate Bonds Initiative

This suggests the update to Climate Bonds GBDS methodology in2022, stipulating higher green building standards, has had an impact.
The 2 Star China Green Building Label is no longer considered sufficiently
ambitious, and a 3 Star rating is now required. Additionally, the premierHong Kong green building standard, BEAM Plus, would need a minimum
rating of gold to be deemed eligible for inclusion in the GBDS.
As a result, market participants in HKSAR have been quick to adapt andimprove their green building finance mobilisation. The Hong Kong Green
Building Council (HKGBC) launched the Zero-Carbon-Ready Building
Certification Scheme in the third quarter of 2023 to encourage andmobilise capital towards improved green building projects.1
Despite these initiatives, recent reports highlight the growing
energy and emission footprint of technology companies,
especially those listed in Hong Kong, and the need to finance thedecarbonisation of the ICT sector.2 Most of the emission footprint fromdata centres and other ICT infrastructure that the technology companies
rely on derives from electricity usage, which is driving the need for
additional renewable energy supplies to keep pace with growth in scaleand energy consumption.
In 2023, USD-denominated green debt made a resurgence, surpassing
HKD as the most popular currency choice for Hong Kong issuers relative
to 2022, with for over a third of issuance volumes. It also leads cumulativeissuance volumes, accounting for 42.6% since 2018, followed by HKD withapproximately 29.2%. In third position, CNY-denominated issuance rose toa record 23.2% in 2023.

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

Source: Climate Bonds Initiative

USD regains position as the currency of choicefor issuers
USD

HKD

EUR

CNY

100%
80%
60%
40%
20%
0%
2018

2019

2020

2021

2022

2023

Source: Climate Bonds Initiative

The Hong Kong Stock Exchange (HKEX) remains the most popular
destination for offshore Chinese green bond listings in 2023.
Over 43% of Chinese offshore issuances were listed in the HKEX in 2023,
including some of 2023’s biggest offshore issuances, such as a USD1bn
deal from the Industrial and Commercial Bank of China (ICBC), financing
solar, wind and clean transportation projects. A further ICBC deal valued
at USD900m financing hydropower, biomass, clean transportation, waste
management, and energy efficiency projects, as well as a USD600m bondfinancing subway construction, were also included.

3

HKEX is the preferred venue for offshore Chinese
green bonds in 2023

MOX
7%

Other
11%

LuxSE
9%
Nasdaq DU
7%
LSE
7%

All German 5%

HKEX
43%

SGX
11%
Source: Climate Bonds Initiative

Continued adoption of the Common
Ground Taxonomy
As a joint initiative of the People’s Bank of China (PBOC) and theEuropean Commission under the International Platform on Sustainable
Finance, the Common Ground Taxonomy (CGT) was an in-depth
comparison exercise between the green classification systems (taxonomy/
green bond catalogue) of China and the European Union (EU). It mappedout the commonalities and differences between the two taxonomies,
creating an important piece of policy infrastructure.

The market has seen more use cases of the CGT being incorporated
into onshore and offshore green products. Since the first use by theConstruction Bank of China Macau Branch in its December 2021 greenbond, there have been 216 green bonds that meet the CGT standards, withcombined volume of CNY297.4bn (USD41.9bn).8 Among those, 59 deals
worth CNY54.1bn (USD7.6bn) were priced in 2023.
In May 2024, the HKMA published and launched the Hong Kong
Taxonomy for Sustainable Finance, with Climate Bonds’ support,
facilitating interoperability with the CGT, as well as the respective
EU Taxonomy and Chinese Green Bond Project Catalogue.9 Climate
Bonds expects more market applications of the CGT as it is further
integrated into policy measures. In July 2023, China Foreign Exchange
Trade System (CFETS) began publishing lists of certified CGT green bonds
to support the growth of CGT-compliant issuance and secondary market
financial product development.
All but one of the CGT-compliant green bonds issued in 2023 listed
by CFETS are considered aligned in Climate Bonds’ GBDS.10 Thisfurther demonstrates the credibility of the CGT, and its alignment withinternational standards.
With the arrival of the Hong Kong taxonomy and its interoperability
with the CGT, Hong Kong is poised to play a powerful role in connecting
Chinese and European capital and issuance, in particular through its
Northbound and Southbound bond connect trading infrastructure. The rise of
relevant secondary market instruments will generate demand in the primarymarket for issuers which adhere to and utilise the label and standard.

Majority of CGT issuance so far is based onshore,
not offshore

Transition bonds and updates to Climate
Bonds’ screening methodology

While transition bonds were originally intended for hard-to-abate
sectors such as cement, steel, and mining, Climate Bonds has
expanded its Taxonomy to define green assets, activities, andmeasures for these hard-to-abate sectors. Accordingly, the Climate
Bonds GBDS Methodology was updated to reflect the new coverageof the steel, cement, and basic chemical sectors.
Since then, several governments and regulators in Asia have launched
dedicated transition finance programmes, engaging with hard-to-abate
issuers, and utilising a combination of government and corporate bondissuance to raise financing for the transition. One notable example ofthis is in Japan, where both corporates and the government have used
the transition label for this purpose. In February 2024, Climate Bonds
announced that the JPY1.6tn (USD11bn) Japanese government Climate
Transition bond is certified under the Climate Bonds Standard, andthus is also included in the Climate Bonds GBDS.

Onshore750
CNY 100 millions

Historically, Climate Bonds tracked but did
not screen bonds bearing the transition
label. As of January 2024, Climate Bonds regards
them as a sub-set of the green label. Climate
Bonds now screens them against its GBDS
Methodology, for inclusion in its GBDS.

Offshore
1000

500
250
0
2020

2021

2022

2023

Source: Climate Bonds Initiative, CFETS

To date, the vast majority of CGT issuance has been onshore andexclusively CNY-denominated, which presents an opportunity for Hong
Kong underwriters and international investors to attract Chinese projects
to offshore markets. To succeed in building the demand and supply for sucha market, the CGT should be further targeted towards Hong Kong-based andinternational green or dark green investors, such as Article 9 funds in the EU.

Example use case of CGT in 2023
IssuerIssue date

Funded projects

Regardless of the label used, or the issuer’s sector
classification, if the instruments are labelled green or transition
and meet the Climate Bonds GBDS methodology UoP requirements,
they are eligible for inclusion.

Postal Savings Bankof China Co.,Ltd.

March 2023

Low carbon rail projects

Jan 2023

In 2023, Climate Bonds recorded 19 transition labelled deals
worth USD3.3bn globally, of which three deals worth USD560m
originated from China. This brings the cumulative global total
to 83 deals worth USD15.2bn.

Nanchang Railway
Group Co.,Ltd

Low-carbon rail projects(metro construction)

CPI Ronghe Financial
Leasing Co.,LTD

Feb 2023

Low-carbon energy(wind and solar projects)

Xinhua Hydropower
Company Limited

June 2023

Low-carbon energy(wind and solar projects)

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative4

2. Social and Sustainability
Climate Bonds Social and Sustainability
Bond Database Methodology

Climate Bonds traditionally focuses on climate-related
investments and issues, but climate change also
exacerbates social inequalities with disadvantaged
groups vulnerable to the physical and transition risks.

Climate Bonds screens all self-labelled debt instruments to from over
80 jurisdictions against the Climate Bonds Social and Sustainability
Bond Database (SSBDB) Methodology to inform inclusion in the
Climate Bonds SSBDB. The SSBDB complements the Climate Bonds
GBDS to provide a more complete snapshot of the GSS+ debt market.

To ensure global just transition to a low-carbon
economy and fulfil the 17 United Nations
Sustainable Development Goals (SDGs), a rangeof persistent inequalities need to be addressed. A
rapid transition to a sustainable economy requires
the support of all sectors of society and substantial
financing, for which the capital markets can bemobilised to support such initiatives through social
or sustainability bonds.

Climate Bonds SSBDB and social andsustainability bond indices

Following the ICMA Social Bonds Principles, social bonds are those with
UoP exclusively earmarked to finance or refinance eligible social projects.11
Sustainability bonds refer to bonds with proceeds earmarked to support a
combination of green and social project categories.

Market analysis
Social and sustainability (S&S) issuance volumes from Hong Kongissuers grew for the third consecutive year in 2023 to USD2.56bn
but was dominated by the social theme. Climate Bonds has recorded
S&S issuance originating from Hong Kong since 2021, and all bonds arealigned with Climate Bonds SSBDB methodology, including the four thatwere issued in 2023.
In September 2023, mortgage financing company Hong Kong
Mortgage Corp, wholly-owned by the HKSAR Government throughthe Exchange Fund, priced the year’s largest aligned social bond in
the Hong Kong market and in Asia, and is the first Hong Kong issuer tosimultaneously issue HKD, CNY, and USD-denominated tranches. The
UoP of the HKD20bn (USD2.5bn) triple-tranche deal was earmarked tofinance or refinance loans under the SME Financing Guarantee Scheme’sSpecial 100% Loan Guarantee. Other UoP categories included Healthcare,
Education, Micro Finance, Affordable Infrastructure and Housing, andEquality. Chong Hing Bank was the only other HK issuer of S&S debt in 2023,
raising HKD50m (USD6.4m) to finance the same range of UoP categories.

Hong Kong S&S issuance grew for third year;
dominated by social issuance

USD Billions

SocialThe Sustainability Bond label
covers bonds with proceeds
directed to a mix of both green
and social projects. Labels include
Sustainable Development Goals,
Sustainable and Responsible
Investments etc,
The Green bond label describes
bonds with proceeds dedicatedto environmental and climate
outcomes. Labels may include‘climate, green, etc’

SocialSustainability

3

6

2

4

1

2

0

0
2021

The Social Bond label includes
bonds where proceeds have afocus on delivering positive social
outcomes. The labels used todescribe the bond may range from
‘Pandemic’ to ‘Gender inclusion’but all are covered within theSocial label.

2022

Deal countSustainability

The Climate Bonds SSBDB is used to inform inclusion in social andsustainability bond indices, an additional reason for issuers to alignwith Climate SSBDB methodology. Examples include J.P. Morgan
ESG (JESG) indices, Solactive Social and Sustainability Bond indicesand others.12,13, Inclusion in Climate Bonds’ database also increases
visibility in the global market, and remains a key indicator of credibility.

2023
Source: Climate Bonds Initiative, CFETS

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

5

Spotlight: Hong Kong Mortgage Corp sustainable finance framework
The Hong Kong Mortgage
Corporation Limited(HKMC) priced its firstsocial bond in October
2022, and has issued fivesocial bonds so far, of which
all are considered aligned with the Climate
Bonds SSBDB. In 2023, social bond issuanceincreased 77.6% YOY.

Hong Kong Mortgage Corp isincreasing its presence in thesocial theme
Social Issuance

Hong Kong
Mortgage Corp’ssocial bondissuance

Issue date

Maturity dateAmount issued

25/10/2022

25/10/2024

HKD8bn (USD1bn)

25/10/2025

CNY3bn (USD415.8m)

12/09/2025

HKD9.5bn (USD1.2bn)

12/09/2026

CNY5bn (USD686m)

12/09/2028

USD650m

12/09/2023

13/09/2023
Climate Bonds
screened social
UoP

Vanilla Issuance

Healthcare: affordable basic healthcare services to the public;
emergency medical response and disease control services;
Education: schools or other education centres that expand access to
education and/or for targeted minority;
Micro Finance: Loans under the Special 100% Loan Guarantee of the
SME Financing Guarantee Scheme for qualified SMEs;

15

Affordable Housing: Financing to support various local affordable
housing schemes in Hong Kong to promote wider home ownershipamongst low and moderate income groups;

10

USD Billions

Affordable Infrastructure: infrastructure projects which provide
affordable basic infrastructure and services;
Equality: projects (mentioned above) that improveincome-inequality or help vulnerable groups.

5

0
2021

2022

2023

Climate Bonds
SSBDB
SDG mapping

Source: Climate Bonds Initiative, HKMC

All five bonds were issued under HKMC’s
Social, Green and Sustainability Financing
Framework. The framework was structured
under the relevant ICMA principles, helping toensure best practice for the following reasons:
1. Issuing sustainable debt under thesustainable finance framework can help
integrate sustainability into the firm’s
ESG and business strategy. HKMC iscommitted to its core missions of promoting
stability of the banking sector, wider homeownership, development of the local debt
market, and development of the retirement
planning market in Hong Kong. Given theorganisation’s mission, there is strong overlap

G1: No poverty
G3: Good health and well-being
G4: Quality education
G6: Clean water and sanitation
G8: Decent work and economic growth
G9: Industry, innovation, and infrastructure
G10: Reduce inequalities
G11: Sustainable cities and communities

with the mission of the social debt market. Usingsocial bonds, HKMC can support the growth ofassets or projects with social benefits. The HKMC
also established an ESG committee to oversee
the implementation of the strategies, further
integrating sustainability into its governance.
2. The use of this framework, and its
relevant reporting commitments, build
transparency and credibility between
the issuer and its stakeholders. As a resultof the development of the sustainable debt

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

framework, the company’s financial control
department has created an independent
allocation register to record, track, and reporton the allocation of the proceeds to eligible
assets. This is then communicated to the
public through its allocation and impact
reporting for each instrument. Given the role
HKMC plays in civic society, this strengthened
public disclosure improves the public’s
understanding of the entity’s role.

6

Spotlight: The role of stock exchanges in promoting high quality sustainable debt

1. Implement market education and foster
dialogues. Educational recourses such as
guidance, training, and tools for investors,
enable exchanges to help investors to better
understand climate risks and opportunities,
and sustainable debt issuance. The existenceof unlabelled sustainable debt shows thepotential for green bond market growth acrossthe world. Exchanges can identify existing andpotential issuers, fast-growing markets, aswell as large and new sectors for green bondissuance. Moreover, the market’s advancement
can be expedited through the establishmentof performance benchmarks such as indices.
These benchmarks serve to assist investors
in identifying sustainable finance investment
opportunities more effectively, thus
accelerating the development of the market.
2. Provide access to a wide range ofinvestors: The visibility and credibility
offered by listing a GSS+ deal on a stock
exchange can help issuers to diversify
their investor base. This extends to a widearray of participants, ranging from substantial
institutional investors such as pension funds,
mutual funds, and insurance companies, tosmaller and medium-sized institutions, andeven individual investors with a preference forsustainable debt.
3. Promote market transparency: The
disclosure of UoP and post issuance reportingof sustainable bonds supports transparency.
Exchanges can leverage existing standards andguidelines such as the ICMA Principles andthe Climate Bonds methodologies to highlightinternational harmonisation and comparability.

TPEx GSS bond volumes continue to growSustainability

Green

Alignment Rate

150

100%

120

75%

60

50%

30

25%

0

0
2021

2022

Percentage

SocialNTD Billions

The role of stock exchanges facilitates
the development of a high-quality
sustainable finance market. To effectively
combat climate change and to further involve
investors, the sustainable bond market
must achieve significant scale and reduce
the risk of greenwashing. Governmental
support, primarily through policies andgovernment issuance, plays a crucial role inthis endeavour. Stock exchanges are essential
to the provision of market liquidity for larger
investor involvement. In addition to improving
transparency, they play a vital role in enforcing
regulations, providing investors with theassurance that the sustainable bonds theypurchase can be exchanged and have therequired credentials. Stock exchanges use
three levers to support the growth of a credible
sustainable debt market:

2023
Source: Climate Bonds Initiative, Taipei Exchange

Case study: The Taipei
Exchange’s high quality
sustainable debt market
The Taipei Exchange (TPEx) has played an activerole in supporting the green bond market since2017 and has since established S&S and SLB
segments, between 2020 and 2022.
Sustainable debt listed on TPEx has grown YOY
since 2017. In May 2023, the outstanding volume
exceeded NTD400bn (USD13.5bn).
Lack of alignment with international standards
is often a problem for nascent sustainabledebt markets, hindering scale and ambitionof issuance. However, all green, social andsustainable bonds listed on TPEx to dateare considered aligned with Climate Bonds
database methodologies.
To achieve this high level of alignment, TPEx
deploys a three-tiered execution strategy for its key
stakeholders, with engagement strategies targeting
the real economy, capital market participants,
and internal stakeholders.14 For capital market
participants, TPEx has guided funds to target
climate and transition-focussed products andservices. For real economy participants (issuers),
TPEx has directly advised and assisted entities
to strengthen their ESG and sustainable debt
frameworks and disclosure, in order to strengthen

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

their competitiveness. Lastly, for its own
development, it has aligned with international
standards and engaged with public net-zeropolicies, deepening collaboration to support
the transition of entities.
TPEx has used its influence with issuers
and investors to develop and mature its
sustainable finance market by:
1. Strengthening corporate governance:
TPEx supports the use of international
standards such as IFRS Sustainability
Disclosure Standards and SASB. It introduced
localised guidance on IFRS Sustainability
Disclosure Standards Alignment and a
Sustainability Roadmap to help listedcompanies understand the impact andopportunity of disclosing sustainability-related
financial information.
2. Creating sustainable products andmechanisms: In collaboration with financial
data and research companies FactSet andEntelligent, TPEx introduced Taiwan’s firstpure climate index series, the TPEx FactSet
Smart Climate, in 2023. This initiative provides
investors with tools to prioritise sustainability
in their portfolios, educate stakeholders
about climate risk, and encourage sustainable
investments in exchange-traded products.

7

3. Sustainability-linked bonds
Market analysis
The first sustainabilitylinked bond (SLB) was issued
in China in 2018 by Beijing
Infrastructure Investment
Co. Since then, issuers aroundthe world have utilised performance-linked debt
instruments to demonstrate their commitment
to decarbonisation. In 2023, Climate Bonds did
not record any SLBs from Hong Kong issuers, but
two SLB issuance opportunities and best practice
examples are highlighted here.
To date, there have been three issuers of SLBs
from Hong Kong: New World Development,
Seaspan Corp, and Towngas. Together, they
have priced six deals with collective volume of
USD1.3bn. However, none of these deals havebeen tied to issuer GHG targets and are thus
not aligned in the Climate Bonds SustainabilityLinked Bond Database (SLBDB).

Real Estate SLBs –International Best practice
The real estate sector has been a keen user of
the SLB instrument format since its inception,with 48 bonds totalling USD8.5bn issued againstsustainability targets, of which approximately
USD1.5bn are considered aligned when assessedagainst Climate Bonds’ SLBDB methodology.

Climate Bonds Sustainability-Linked Bond Database
Climate Bonds screens self-labelled SLBs
from all jurisdictions against the Climate
Bonds Sustainability-Linked Bond Database(SLBDB) Methodology to inform the size,
credibility, and ambition of global SLBs.
Aligned deals in the SLBDB evidence issuers

SLB

NO

Does the SLB use GHG
emission reduction targets?

NO

Do the targets exclude offsets and are
not measured in economic intensity?
YESNO

Do the GHG targets cover the sector
specific emission sources?
YES
Are the targets aligned withthe sector-specific pathway?
NO

Mitsubishi Estate’s 10Y SLB issued in 2023, andtwo of its previous deals in 2022, are considered
fully aligned with the Climate Bonds SLBDB
methodology, as its GHG targets are aligned with
the CRREM Real Estate pathways. It is worth noting
however, that two of their five deals, are considered
not aligned as they are tied purely to renewableenergy targets. Climate Bonds stipulates that SLBs
are issued with all material emissions represented
for the sector, in line with a sector-specific pathway.

Many real estate companies in Hong Kong
already have eligible GHG reduction targets.
New World Development and Swire Properties,
are notable examples of real estate developersthat already have eligible scope 1, 2, and 3
decarbonisation targets. Tying their cost of debt tosuch targets helps not only to broaden their investor
base but also demonstrate their decarbonisationcommitment to investors and other stakeholders.

A summary of the assessment process is
illustrated below, with the full methodology
available in Chinese and in English on the
Climate Bonds website.15 Sectoral case studies
are also available on the website, breaking
down the steps required for alignment.

YES

One of the most prominent aligned SLB issuers
is Mitsubishi Estate Co., Ltd., which has issued
3 deals worth JPY70bn (USD510.3m) consideredaligned within the SLBDB.

This remains a priority area to improve thecredibility of SLB issuance from the Real Estate
sector: 58.8% of Real Estate sector SLBs issued
globally in 2023 lacked GHG targets attached to theirdeals. Deals are tied to renewable energy targets,energy efficiency targets, or the proportion of thereal estate portfolio certified with green building
standards. While Climate Bonds does not discourage
the use of these targets, ideally they should besecondary to fundamental decarbonisation targets.

who tie their cost of capital to credible andambitious decarbonisation targets, in linewith a 1.5°C transition.

YES

Fully-aligned
SLBNo, but will be aligned by 2030

No, but is aligned on a %reduction basis, and has all the
key elements of transtion plans
No, and lacking transition plans

Strongly-aligned
SLB

Aligning SLBSLB not aligned

Case study - Mitsubishi Estate’s 10Y SLB issued in 2023
Amount issued JPY30bn (USD218.3m)
Issue date

2 May 2023

Maturity date

2 May 2033

Financial mechanism type:
Redemption premium (to Charity): worth 25bps if any target missed
Key performanceindicators (KPIs)

GHG Emissions(scope 1 & 2)
GHG Emissions(scope 3)

Sustainability
performancetargets (SPTs)-70% by 2031 against
a 2019 baseline-50% by 2031 against
a 2019 baseline

Assessment: Fully Aligned
Emission sources required by SLB Database Methodology for sector
Scope 1, 2, and 3 or 80% of total emissions

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative8

Market dynamics from a
broader perspective
To reflect the size of Hong Kong as aninternational financial centre for green andsustainable debt issuance, the HKMA adopts
a different methodology from Climate Bonds
in measuring the size of the green andsustainable debt market.

GSS+ debt issued in
Hong Kong exceeded
USD50bn in 2023 under
HKMA’s methodology
Instrument typeCoverage of GSS+ instruments by Climate Bonds and HKMA incomparison
Data coverage

Climate Bonds Initiative

HKMA

Instrument
type

Bonds

Bonds and Loans

Scope

Instruments from Hong Kongissuers16

Bonds arranged in Hong Kong17,
and loans issued in Hong Kong18

Sources: Dealogic and ICMA (for bonds), LoanConnector and HKMA staff estimates (for loans)
Note: Figures may not add up to the total due to rounding.

Green bonds remained the major
instrument typeIssuance volume
in 2023 (USD bn)

Bonds

29.9

Loans

22.2

Total

52.1

Close to USD30bn of GSS+ bonds werearranged in Hong Kong in 2023, capturing
more than one-third of the Asian green
and sustainable bond market.

Social 4%
SLB 2%• Over half of the GSS+ bond issuance inHong Kong was by private sector issuers,
mainly financial institutions and real estate/property development corporates.

Corporate other 20%

Sustainability
14%

Green
80%

Financial
Institutions
24%

Source: HKMA, based on Dealogic Data

Sustainability-linked loans (SLLs)
make up more than two-thirds ofloan market• Around half of the GSS+ bond issuances inHong Kong were denominated in USD (55%),
followed by RMB (35%) and EUR (10%).

Green loans
30%

Source: HKMA, based on Dealogic Data

Financial institutions and realestate/property development
corporates were the major GSS+
loan borrowers
Corporate- others
70%

Over USD22bn of GSS+ loans were issuedin Hong Kong in 2023.
• SLLs accounted for over two-thirds of the
GSS+ loan market in Hong Kong.

Governments
anddevelopment
banks
48%

Corporate real estate 8%• Against the backdrop of a volatile market
environment, the GSS+ bond issuance inHong Kong grew by 6.9% YOY to USD29.9bn
in 2023, equivalent to over one-third of the
Asian international GSS+ bond market.
• Green and sustainability bonds collectively
made up over 90% of the market. Social bondsand SLBs remained relatively niche segmentswith around 4% and 2% share respectively.

Corporate issuers accounted
for more than half of GSS+
bond issuance

SLLs
70%

• Similar to GSS+ bonds, financial institutions
and real estate/property development
corporates were the major borrower groups,
collectively accounting for over 50% of the
GSS+ loan borrowing in Hong Kong.

Financial
institutions
34%

Corporate real estate70%

Source: HKMA, based on Dealogic Data

Source: HKMA, based on Dealogic Data

• GSS+ loans issued in Hong Kong wereprincipally denominated in HKD (52%)
and USD (39%).

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative9

Spotlight: Provincial transition finance frameworks on the rise in HKSAR and China
Transition finance describes measures to support investments aimed at
reducing greenhouse gas emissions in hard-to-abate sectors. This has been
gaining visibility among China’s financial regulators and market stakeholders
despite relatively slow progress in the development of standards andbuilding of consensus around how to ensure credible transitions.
In February 2024, led by the National Development and Reform
Commission (NDRC), 10 government bodies jointly published the
Guidance Catalogue for Green and Low-Carbon Transition Industry(2024 Edition).19 This is the first time that elements of low-carbon
transition have been incorporated into China’s national level taxonomies.

Prior to the introduction of a national transition financestandard in February 2024, local transition finance pilots were
gaining traction. In 2023, subnational governments including
Huzhou, Chongqing, Tianjin, Shanghai, and Hebei introduced transition
finance policy guidance and taxonomies to support the low-carbon
transition of their industry bases.20,21,22,23,24 While each differs in theirscope and granularity, this newly introduced local transition financeguidance serves as a pilot for the much-anticipated national sectorspecific transition finance standards led by the PBOC, initially covering
steel, thermal power, construction materials, and agriculture.

Policy document
HuzhouTransition
Finance
SupportActivity
Catalog(2023 trial)

Catalogue ofChongqing
Transition
Finance
SupportProjects(2023
edition)

Implementation Guide
for Transition
Finance in
Key Areasof Tianjin
ChemicalIndustry

ShanghaiTransition
Finance
Catalogue(trial)Guidelines
for Transition
Finance ofIron and Steel
Industry in
Hebei Province(2023-2024
edition)February 2024

July 2023

October 2023

October 2023

December 2023

December 2023

(including
petrochemicals
and chemicals)(differentiatedby chemical
raw materials,
products, fibre)(covers 10
key areas ofchemicals
industry)(specifically,
petroleumprocessing,raw materials,
products)

NDRC
Guidance
Catalogue forGreen and
Low-Carbon
Transition
Industry(2024
Industry)
Publication Date
Sector coverage
TextilesPulp and paper
Chemicals

Non-metallic minerals
Ferrous metals(specifically,steel)(specifically,iron and steel)(specifically, ironand steel)(specifically,steel)

Non-ferrous metals
Electric machinery andequipment
Electric power(specifically,
coal power)

Heat production
Agriculture(agri-foodand fisheries)

CementWater transportation
Automotive manufacturing
Air transport
The regional guidance tends to coverregionally relevant industries such as textiles,
oil refining, chemicals, steel and other highcarbon emission sectors. The steel sector
is included in most local guidelines while
Chongqing stands out as the only city toinclude the agricultural sector.

HKMA has also commenced phase 2
development of the Taxonomy, which
will include trasnition activities. However,
Climate Bonds encourages the continued
convergence and alignment of standards
and guidance to ensure that capital flows
unencumbered to finance decarbonisation

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

efforts and measures. The opportunity here
for Hong Kong is to engage with and keep
abreast of developments abroad and withinmainland China, maintaining its position as asustainable finance hub, and bridge between
China and the international community.

10

4. Market Development and Outlook
In 2023, Hong Kong sustainable debt volumes growto new heights, predominantly through governmentissuance. By the end of 2023, Climate Bonds hadrecorded cumulative aligned green bond volume of
USD2.8tn. This figure is expected to have exceeded
USD3tn by mid-year but the volume of large deals must
increase significantly to reach Climate Bonds’ target of USD5tn per yearby 2025. Hong Kong can leverage its position to mobilise the capital flow
required to support both its own transition and that of mainland China,
contributing to building a green and sustainable future.
Climate Bonds highlights three drivers of growth for Hong Kong’s GSS+
market in 2023 and beyond.

1. HKSAR Government is committed to theachievement of its climate goals and its position
as a GSF hub for the region
Tackling climate change has the potential to power vast
economic growth. As a leading international financial
centre, Hong Kong is a strategically placed GSF financing
platform and can galvanise action on transition while addressing its own
climate agenda.
By the end of 2023, the HKSAR Government had priced government green
bonds with cumulative volume of USD24.2bn. As part of its 2024–25
budget, the HKSAR Government announced its intention to issue
approximately HKD95bn to HKD135bn worth of bonds each year from
2024–25 to 2028–29, including green/sustainable bonds.25 Furthermore,
it announced the extension of the Green and Sustainable Finance
Grant Scheme until 2027, with an expanded scope of subsidies to covertransition bonds and loans, demonstrating its commitment to supporting
the arranging and issuance of sustainable finance in Hong Kong.26

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

2. Clearly define transition to underpin further
scale and ambitions in issuance and action
Hong Kong’s taxonomy for sustainable finance, led
by the HKMA, will facilitate easy navigation between
the taxonomies of mainland China and the EU. An
acknowledged benefit of a well-defined green taxonomy
lies in its ability to eliminate greenwashing and facilitate capital flows
across jurisdictions. As part of phase two of taxonomy development, there
is a clear need to expand coverage to hard-to-abate sectors, given latest
guidance from provincial and national governments in China, and theurgent need to decarbonise these sectors across the globe. The increased
clarity will introduce scale from issuers and facilitate the issuance of UoPand SLB instruments.

3. Hong Kong can further scale access tointernational finance for mainland China
Hong Kong has vast potential to channel thedecarbonisation and transition financing needs ofmainland China due to its strategic position andhigh-profile within the international finance community. This power isbeing further amplified through initiatives such as a local CGT-compliant
taxonomy, the Government Green Bond Programme, and the green
finance infrastructure that continues to develop. The advent of a CGTcompliant bond list from CFETS could be further supported by a similar
list that adopts an ex-China regional focus, including issuance from Hong
Kong and abroad.

11

Appendix A: Climate Bonds dataset/bases and reporting
Scope of analysis
This report includes four sustainable debt
themes based on the projects, activities,
and expenditures financed: green, social,sustainability, and SLB. The GSS+ themes can be
described as follows:
Green: dedicated environmental benefits(captured since 2012).
Social: dedicated social benefits(captured since 2020).
Sustainability: green and social benefits combined
into one instrument (captured since 2020).
SLB: changes in coupon (almost always stepups) linked the fulfilment of key performanceindicators (KPIs) against entity level sustainability
performance targets (SPTs) (captured since 2021).

Methodology overview
This report draws on three Climate Bonds databases:
1. Green Bond Database (GBDB)
2. Social and Sustainability Bond
Database (SSBDB)
3. SLB Database (SLBDB)
Bonds meeting the requirements outlined in Climate
Bonds’ screening methodology qualify for inclusionin the datasets/bases and are classified as aligned.
Labelled bonds for which there is not enoughinformation to determine eligibility for dataset/base inclusion are classified as pending until
sufficient disclosure is available to decide. Bonds
failing to meet the requirements of Climate Bonds’

Green, social, and sustainability bonds

AlignedCumulative USD billion
as of 31 December 2023
SLBs

Pending

4.4tn

Excluded

79.8bn751.7bn

Fully aligned

Strongly aligned

Aligning

Not aligned

40.3bn

2.2bn

4.7bn

278.9bn

Cumulative USD billion
as of 31 December 2023

screening methodology are classified as nonaligned and are excluded from the datasets/bases.
SLBs are assessed according to Climate
Bonds Sustainability-Linked Bond Database
Methodology (SLBDM) and classified according tofour levels of alignment.27
1. Fully aligned: SLB targets cover all material
sources of emissions and are aligned with therelevant pathway.
2. Strongly aligned: SLB targets cover allmaterial sources of emissions and will be alignedwith the relevant pathway by 2030.

As Criteria are developed, Climate Bonds will
update its GBDB methodology and then begin
screening bonds from issuers in those sectors
for inclusion, whether labelled as transition or
as green. The Climate Bonds Taxonomy defines
the assets and activities that are aligned witha 1.5-degree pathway, accepting financing
with either label. In 2024, Climate Bonds will
publish new sector Criteria for Electrical Utilities,
Agri-food, Deforestation and Conversion Free
Sourcing, Hydrogen Delivery and Production,
and Basic Chemicals. Climate Bonds Buildings
Criteria will also be updated to reflect thedifferences between new and existing buildings.

3. Aligning: SLB targets cover all material
sources of emissions, are aligned with thepathway on a % reduction basis, and the issuer
has the basic tenets of a transition plan.
4. Not aligned: SLB targets fail to meet
any of the above criteria, or do not meetthe other requirements detailed in the SLB
Database Methodology.

Appendix B: Composition of labels in GSS+ themes
Composition of labels in GSS+ themes
Green

SocialSustainability

SLB

Blue/Water

Affordable Housing

SDG

Sustainability-linked

ClimateEducation

Socially Responsible
Investing (SRI)

ESG-linked

Carbon Neutrality

Equality

Sustainable
development

SDG-linked

Transition/
Climate Transition

Healthcare

Impact/Positive
ImpactLow-carbon transitionlinked

PACE

Rural Revitalisation

ESG

Transition-linked

Climate Resilience

Youth, Employment

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative12

Endnotes
1. https://www.hkgbc.org.hk/eng/news-events/news/2023/20230929.jsp
2. https://chinawaterrisk.org/wp-content/uploads/2023/09/CWR2023-China-ICT-Transition-The-good-bad-ugly-of-5-HKEX-ICT-listcosnet-zero-pledges-climate-action.pdf
3. Latest version: Climate Bonds Green Bond Dataset Methodology,
April 2024, Climate Bonds Initiative, Green Bond Database
Methodology | Climate Bonds Initiative
4. J.P.Morgan Index Product Guide Global Index Research. https://www.jpmorgan.com/content/dam/jpm/cib/complex/content/
markets/index-research/Global-Index-Research-Product-Guide-2022.
pdf#page=12
5. Solactive. 2021. Shining Green: Bonds to Tackle Climate Change
https://www.solactive.com/wp-content/uploads/2021/09/SolactiveGreen-Bonds-September-2021.pdf
6. FTSE Chinese (Onshore CNY) Green Bond Index v1.3. 2022. https://www.
lseg.com/content/dam/ftse-russell/en_us/documents/ground-rules/ftsechinese-onshore-cny-green-bond-index-series-ground-rules.pdf
7. Ping An of China Asset Management Fund – China Green Bond
Index. https://asset.pingan.com.hk/en/PACAMF-CGBF#f2
8. 21st Century Business Herald. CGT Labeled Bond
Observation. https://www.21jingji.com/article/20240111/herald/
fc9d2ee0b856569f6712121c550929ff.html
9. Hong Kong Monetary Authority. Hong Kong Taxonomy for
Sustainable Finance. May 2024. https://www.hkma.gov.hk/eng/newsand-media/press-releases/2024/05/20240503-3
10. CFETS. Green bonds in China that comply with the China-EU Common
Classification Catalog (February 2024 version). https://iftp.chinamoney.com.
cn/dqs/rest/cm-s-security/dealPath?path=Jnw5ofpjlbE%253DuZ9TuHgZHBAAf1R6YB58X%252BVh6qJYTzerL971h56hFyosGx449jkk7FW%252BoC0YoK%252ByAGUVp6xD2YtHXb%252FVL8Cxpg%253D%253D&cp=rdgz&ut=cXKz1y5qdUg5t8GnA3dyz3Ox203ZLT0XVM3KhwI2VhRig9hJ7F76IXCVJ7TySVbRII0%2BQdaBJ7Wk%0A%2BiTQHkfilMUuH9A9PBJdTjwOznRo55ZN%2BXD9R3yX/4bUQYVDcdi2XKzUCzL2v7A1WC5GL77qroc8%0ANJ3S/TDGtIVLqnIjOs4=%0A&sign=Q/
d8solfMh3GOoMI5WmGUaZA1ukiCpO5sMwap9ByMZnt4tsJZeSkX6Wq1v3lRrKsnQLcWdAPun00%0ALsYa5AtcTZpCs2CvuKf8xTKL5JKkAphGIIEbpsADAhjeg2dCZIBVMUOFd2LaiLvRLJLML9AfJTc/%0AI44XV2MvFkyyEBuTLsA=%0A

11. ICMA Social Bond Principle. https://www.icmagroup.org/
sustainable-finance/the-principles-guidelines-and-handbooks/socialbond-principles-sbp/
12. Solactive Index. https://www.solactive.com/solactive-launchessocial-and-sustainable-bond-index-with-the-climate-bonds-initiative/
13. JPM Indices. https://www.jpmorgan.com/content/dam/jpm/
cib/complex/content/markets/composition-docs/jp-morgan-greensocial-and-sustainability-bond-indices.pdf
14. Tpex. Sustainable Strategy. https://www.tpex.org.tw/storage/
publish/csr/111/en/2022%20CSR%20TPEx%20Sustainable%20
Strategy.pdf?t=20230823
15. Climate Bonds Initiative. Climate Bonds Sustainability-linked bond
Methodology. 2023. https://www.climatebonds.net/market/SLBD
16. Climate Bonds refers to the following rule to determine how toassign a country/jurisdiction to each bond. For unsecured bonds,
the country/jurisdiction is determined by the issuer’s domicile.
If it is a wholly-owned subsidiary, it becomes the parent group’s
domicile. For secured bonds, the location of the assets being
used as collateral is considered. However, a parent guarantee orother recourse to a parent company in another domicile would
influence the determination. Climate Bonds does not take currency
denomination, listing venue, or similar factors into account todetermine the country/jurisdiction.
17. Refers to green and sustainable bonds arranged in Hong Kong.
In line with the methodology adopted by the ICMA, the main
location of arrangement is the jurisdiction where more than 50%of the lead banks of a deal are based. If two jurisdictions tie for adeal, both jurisdictions will be attributed by taking an average of thenominal amount of the bond.
18. Refers to green and sustainable loans issued in Hong Kong. The
issuing location is the location of the bank branches which represent
the majority of the lender commitments.
19. NDRC. 2024. 关于印发《绿色低碳转型产业指导目录（2024年版）》的通知_国务院部门文件_中国政府网 (www.gov.cn)
20. Huzhou. Huzhou Transition Finance Support Activity Catalog (2023
Trial). 2023. 转型金融支持活动目录 (huzhou.gov.cn)
21. Chongqing. Catalogue of Chongqing Transition Finance Support
Projects (2023 Edition). 2023. h5.cqliving.com/info/detail/98332719.html

Supported by the Hong Kong Monetary Authority

Supported by the Hong Kong
Green Finance Association

22. Implementation Guide for Transition Finance in Key Areas of
Tianjin Chemical Industry. T/TJSFB 001-2023. 2023. 全国首个！
天津出台化工行业转型金融标准 (cpcif.org.cn)
23. Shanghai Transition Finance Catalogue (Trial). 2023.《上海市转型
金融目录（试行）》正式出台_中共上海市委金融委员会办公室、中共上海市金融工作委员会 (sh.gov.cn)
24. Hebei. Guidelines for Transition Finance of Iron and Steel Industry
in Hebei Province (2023-2024 Edition) .2023. 1704353606189009596.
pdf (chinaisa.org.cn)
25. HKSAR Government. 2024-25 Budget. 2024. https://www.budget.
gov.hk/2024/eng/pf.html
26.For details of the Green and Sustainable Finance Grant Scheme,
please refer to the HKMA website at https://www.hkma.gov.hk/
eng/key-functions/international-financial-centre/bond-marketdevelopment/tax-concessions-and-incentive-schemes/
27. Climate Bonds SLB Database Methodology, Sustainability-Linked
Bond Database Methodology | Climate Bonds Initiative
28. Climate Bonds Initiative Green Bond Database Methodology,
Green Bond Database Methodology | Climate Bonds Initiative

Funding for this publication was provided byStandard Chartered as a Gold Partner.

Authors: Gao Zhan, MacGeoch Matthew, Xie Wenhong, XU Xinru
Editorial support: Stephanie Edghill, Caroline Harrison
Suggested citation: Hong Kong Sustainable Debt State of the Market 2023.
The Climate Bonds Initiative. June 2024. .
Design: Godfrey Design, Joel Milstead© Climate Bonds Initiative, June 2024
www.climatebonds.net

Disclaimer: The information contained in this communication does not constitute investment advice in any form and the Climate Bonds Initiative is not an investment adviser. Any reference to a financial organisation or debt
instrument or investment product is for information purposes only. Links to external websites are for information purposes only. The Climate Bonds Initiative accepts no responsibility for content on external websites. The
Climate Bonds Initiative is not endorsing, recommending or advising on the financial merits or otherwise of any debt instrument or investment product and no information within this communication should be taken as such,nor should any information in this communication be relied upon in making any investment decision. Certification under the Climate Bond Standard only reflects the climate attributes of the use of proceeds of a designated debt
instrument. It does not reflect the credit worthiness of the designated debt instrument, nor its compliance with national or international laws. A decision to invest in anything is solely yours. The Climate Bonds Initiative accepts noliability of any kind, for any investment an individual or organisation makes, nor for any investment made by third parties on behalf of an individual or organisation, based in whole or in part on any information contained
within this, or any other Climate Bonds Initiative public communication.

Hong Kong Green Market Briefing 2023 Climate Bonds Initiative

13