HONG Kong has mandated banks to sell green notes denominated in US dollars, euros and offshore yuan, in the city’s latest push to establish itself as a green finance hub.
The Hong Kong Monetary Authority, acting as the representative for the sale, has mandated banks to organise a series of fixed-income investor calls from Jul 16 for the potential offerings, according to a source familiar with the matter who asked not to be identified.
The city has been ramping up green bond sales as part of a government sustainable bond programme that seeks to promote the development of green and sustainable finance. The government has set a borrowing ceiling of HK$500 billion (S$86 billion) for the 2024 to 2025 budget year. according to the programme’s website. The funds are set to be used for green and sustainable projects.
Hong Kong priced US$750 million green bonds across four currencies earlier this year. In 2023, it sold the equivalent of US$6 billion in sustainable bonds in what was Asia’s largest-ever green debt offering. BLOOMBERG
