Climate change is one of the major risks threatening the well-being of mankind. How the banking and financial system operates will clearly have an impact on the way in which climate risk is managed or reduced. The HKMA is committed to promoting green and sustainable finance in order to address climate risk.
In particular, the HKMA adopts a three-phased approach to promote green and sustainable banking:
The HKMA is also actively participating in international forums to support global development of green finance. As a member of the Central Banks and Supervisors Network for Greening the Financial System (NGFS), the HKMA participates in the Network’s working groups to explore how to incorporate climate risk and other green and sustainable factors in the supervisory framework and macro surveillance work.