As the COVID-19 pandemic and climate change persist, people are now paying more attention to environmental issues. Economic incentives such as green finance can motivate companies to support the Paris Agreement and other green goals. Once a company can prove that its business nature, any project or potential source of revenue is green in essence, it will be easier to adopt green loans and enjoy a lower interest rate.

Currently, various local and international green bond frameworks can be used to assess a green project or business. Once certain standards are met, financial institutions or investors can lend and invest in these green projects. 

Learn more from the full article (in Chinese only) written by Kenny Siu, Senior Advisor of AEC Group, published on Sing Pao on 20 September.