Eddie Yue: Opening remarks - Hong Kong Monetary Authortity-Dubai
Financial Services Authority Joint Climate Finance Conference
Opening remarks by Mr Eddie Yue, Chief Executive of the Hong Kong Monetary
Authority, at the HKMA-Dubai Financial Services Authority (DFSA) Joint Climate
Finance Conference, Hong Kong, 16 September 2024.
* * *
Ian [Johnston, Chief Executive of the Dubai Financial Services Authority
(DFSA)], colleagues from the DFSA and friends joining us in-person and online,
Good morning and good afternoon.
Greetings and Introduction
Welcome to the inaugural HKMA-DFSA Joint Climate Finance Conference.
It was in the summer of 2023 when Ian and I talked about having a joint conference
together. Ian has always been a very active contributor to the global dialogue on
sustainability, and his visions for climate finance resonated a lot with me. We quickly
came to an agreement that we should have a mechanism where key stakeholders in
Hong Kong and Dubai can meet regularly to discuss our shared challenges in scaling
climate finance, explore and pilot innovative solutions, and coordinate a regional
response to net-zero.
And now, here we are, just over a year since our discussion, at the inaugural joint
conference. Let me first take this chance to express our appreciation for Ian, DFSA
colleagues and our industry friends who all help make this meaningful initiative happen.
Importance of Collaboration
Our concerted efforts speak volumes about the growing recognition of collaboration -
between public and private sectors, financial institutions and corporations, and
international organisations and local communities. None of us, by acting alone, can
move the needle on decarbonisation.
Our collaboration needs to extend beyond borders as well. Climate change is a global
challenge that requires a global response. Hong Kong and Dubai, as the sustainable
finance hubs in Asia and the Middle East, can do and should do more together.
Collaboration between Hong Kong and Dubai
When it comes to climate finance, Hong Kong and Dubai have a lot in common. We are
the key gateways between East and West; both with very vibrant sustainable bond
markets; encouraging technology adoption, actively participating in global
standardsetting and fully committed to local alignment.
More importantly, we both are very proactive in taking the initiative. In the race against
climate change, we cannot afford to wait until we have a perfectly robust
approach. The like-minded need to join hands and embark on the sustainable finance
journey knowing that there will be hurdles or even setbacks along the way. We also
need to be inclusive and make sure no one is left behind, especially those from regions
and sectors where the need for economically viable and credible decarbonisation
solutions is the most acute.
That is why the theme of today's conference is transition finance. Although most of us
can agree that transition finance is critical in reaching the net-zero goals, how to do it,
and how to do it right, is still very much under debate. Despite the immediate
challenges in labelling, collecting data, and building metrics, I have confidence that
Hong Kong and Dubai, working hand-in-hand, can chart a new path ahead.
And this would require some fresh thinking as well. For example, we as financial
regulators need to look beyond our traditional mandate and take up the role as an
enabler of facilitation for such collaboration. It is on us to create a conducive
environment, where honest, difficult but necessary conversations among diverse
stakeholders have to take place. We also need to arm the market participants with the
right tools and incentives to develop and test innovative solutions; and lay the
groundwork in infrastructure to facilitate cross-border climate fund flows.
Ian and I will share more of my thoughts in the coming session, and I look forward to an
open and constructive exchange of views with you all.
Closing
Today's conference is just a first step in our building of a "Net-zero Asia - Middle East
Corridor". I hope the speakers' sharing today will catalyse a lot more fruitful discussions
down the road.
With that, may I invite Ian and Teresa [Ko, Senior Partner, Hong Kong, Freshfields
Bruckhaus Deringer and Co Vice Chair, IFRS Foundation] to join me on stage for the
Fireside Chat to kick-start our event today.
Thank you very much!