China’s green finance model shows how saving the planet can also be a savvy investment
With the world’s largest carbon trading exchange, huge green bond market and plethora of green private equity funds, China has shown that well-crafted regulatory, policy and financial frameworks can spur private interest in green finance
By Deborah Lehr as featured on South China Morning Post
Green investing has turned out to be both a good deed and good deal. China, which is now one of the world’s largest markets for green finance, is showing how investing in sustainability is not only important for saving the Earth but can bring about excellent returns for the investor. Other countries should take note.
Chinese President Xi Jinping has made environmental protection one of the top three priorities of his second term and launched an extensive green finance initiative. The intention is to use market mechanisms combined with government policy – and some government financing – to promote green growth and better environmental protection.