Reforms will boost role of green finance, official says

Yang Weimin, deputy director of the Office of the Central Leading Group on Financial and Economic Affairs, picks up questions during a press conference on pursuing green development and building a "Beautiful China" in Beijing, Oct 23, 2017. [Photo by Feng Yongbin]

China is pushing forward reforms and will take advantage of Hong Kong's role as a global financial center to boost green finance, a senior official said on Monday.

The Ministry of Finance is also considering building a national green development fund, while the central bank is planning to set up pilot programs in regions for green finance reforms and the China Securities Regulation Commission is studying improving information disclosure standards for listed companies, said Yang Weimin, deputy head of the Office of the Central Leading Group on Finance and Economic Affairs.

"In terms of the green market growth, the current development is not sufficient, meaning huge potential in the future," he said at a news conference on the sidelines of the 19th National Congress of the Communist Party of China.

During the first nine months of this year, China has issued green bonds of worth 134 billion yuan ($20.2 billion) and accounted for 24 percent of global new offerings, marking a leading position in the world.

By February, green loans from 21 major Chinese financial institutions reached 7.51 trillion yuan, which was 8.8 percent of the total lending, according to official data, indicating an increasing growth rate.

As one of the most crucial global financial centers, Hong Kong will play an important role to facilitate the development of green finance, especially in green bond issuance that would benefit both the onshore and offshore markets, according to Yang.