Events

Topic: The Green Building Market and Investment Opportunities

Content:

• The definition of green buildings
• The market landscape of green buildings
• ‘EDGE’ (Excellence in Design for Greater Efficiencies) green building certification
• The investment opportunities for green buildings
• How to use ‘EDGE’ to create a green real estate program

Trainer:

• Farida Lasida Adji, Regional Green Building Lead – East Asia, IFC Climate Business Group

Watch Video Replay:
https://vimeo.com/556190585

The Alliance for Green Commercial Banks (the Alliance), co-launched by the Hong Kong Monetary Authority (HKMA) and International Finance Corporation (IFC), a member of the World Bank Group, hosted the first roundtable, “CEO Talk: Opportunities for Green Bank Transformation”, virtually on 27 April, 2021. The roundtable attracted over 1,100 participants globally from Asia Pacific, Europe, the Middle East, Africa, and the Americas.

Watch Video Replay:
https://www.youtube.com/watch?v=Peieduxt8GI

Topic: Green Commercial Bank Transformation (Introduction)

Content:

• Trends and opportunities for commercial banks
• IFC case studies on green commercial bank transformation: greening the strategy, portfolio, capacity, operation, risk management, etc.
• Why & How: The Alliance for Green Commercial Banks

Trainer:

• Helen He, Head of Asia Sustainability and Climate Finance, Financial Institutions Group, IFC

Watch Video Replay:
https://vimeo.com/528851360

On December 14-15, 2020, IFC and the Hong Kong Monetary Authority hosted a two-day webinar on climate business and green banking. As countries work to recover from the COVID-19 pandemic, business executives and thought leaders presented innovations in climate-smart technologies and business models and discussed leading solutions to green your business.

Watch Video Replay:
https://www.ifc.org/wps/wcm/connect/topics_ext_content/ifc_external_corporate_site/climate+business/events/climate+business+webinar

In times of disruption, sustainable investment that is well-planned and future-focused is likely to be more resilient to climate and economic impacts. Investment in resilience is also cost-effective. According to the World Bank, developing countries alone could see US$4.2 trillion of benefit from investing in more resilient infrastructure – a return of $4 for every $1 invested. It is thus crucial to facilitate more capital flows towards sustainable and resilient projects in emerging markets, especially as post-Covid-19 economic recovery has offered an invaluable chance for countries to “build back better”.

The HKMA has been at the forefront of accelerating the growth of green and sustainable finance. In May 2020, HKMA together with 6 local regulatory bodies established a Cross-Agency Steering Group to co-ordinate the management of climate and environmental risks to the financial sector in Hong Kong.

The Centre for Green Finance (CGF), an initiative launched under the HKMA Infrastructure Financing Facilitation Office (IFFO), will serve as the focal point for capacity building and experience sharing, will also be responsible for promoting capacity and expertise in Green Finance. As a leading green and sustainable finance centre in Asia and globally, Hong Kong is well positioned to facilitate investments and financing into sustainable and resilient projects.

This panel, comprising public and private stakeholders along the investment value chain, will look into the importance of environment and resilience considerations in green financing and share best practices and experience.

Panel Chair
Mr Rami Hayek
Senior Advisor (Market Outreach Division, External Department),
Hong Kong Monetary Authority

Speakers
Mr Joachim von Amsberg
Vice President, Policy and Strategy, Asian Infrastructure Investment Bank

Mr Bruno Guilloton
Chief Executive Officer of Asia Pacific, AXA Investment Managers

Ms Grace Hui
Managing Director, Head of Green and Sustainable Finance, Hong Kong Exchanges and Clearing Limited

Mr Adrian Khoo
Managing Director, Co-Head of Asia Debt Capital Markets, Loans & Acquisition Finance, Citigroup

Panel Discussion
Risk Mitigation in Infrastructure Financing

Sustainable Finance has attracted growing attention in infrastructure development given its beneficial impact to the investors, financiers, project owners and the project location. This has been given further impetus by the participation of various economies in the Paris Agreement as well as the commitment of different countries and organisations in promoting an open, green and clean Belt and Road cooperation. With IFFO being an active player in facilitating infrastructure investments and financing, IFFO has recently advanced in setting up the Centre for Green Finance (CGF) to further promote green finance through acting as the focal point for capacity building and experience sharing as well as a depositary for knowledge and expertise. The panel, comprising both public and private stakeholders, will look into the business case of adopting sustainable finance in infrastructure projects and share insights on the latest industry trends and offerings in this aspect.

Panel Chair:

• Mr Darryl Chan, JP, Executive Director (External), Hong Kong Monetary Authority; Deputy Director, HKMA Infrastructure Financing Facilitation Office (IFFO)

Speakers (Listed in in alphabetical order of last name):

• Mr Michael Barrow, Director General, Private Sector Operations Department, Asian Development Bank
• Mr Herbert L W Hui, Finance Director, MTR Corporation Limited
• Mr Mukhtar Hussain, Group General Manager, Head of Belt & Road Initiative and Business Corridors, Asia Pacific, The Hongkong and Shanghai Banking Corporation Limited
• Mr Neil Johnson, Managing Director, Macquarie Infrastructure and Real Assets, Macquarie Asset Management
• Mr Mushtaq Kapasi, Managing Director and Chief Representative, Asia Pacific, International Capital Market Association

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The event was attended by around 40 senior executives, comprising institutional investors, financiers, project developers and operators, insurers, and professional service providers.

On the environmental, social, and governance (ESG) aspect of the programme, IFC specialists used investment cases to elaborate on how ESG is embedded in IFC’s investment process, and the importance of ESG in creating long-term value. IFC also introduced its Disclosure & Transparency Toolkit, which provides best practice guidance on information disclosure for companies attracting private sector investment. Also on impact investing, the IFC introduced their “Operating Principles for Impact Management” (the Principles) – a market standard launched recently for impact investing in which investors seek to generate positive impact for society alongside financial returns in a disciplined and transparent way.

The one-day seminar covered infrastructure case studies featuring viewpoints of both insurers and the insured on political and commercial risk insurances. Seasoned speakers elaborated on their key strengths and advantageous propositions in political risk insurance and guarantee. Various risk management experts from the Hong Kong insurance industry illustrated how insurance brokers and insurers customised insurance solutions to address the corresponding risk management needs during the project planning, construction and operation phases.

At the seminar, attendees were also illustrated with case studies of infrastructure projects in emerging economies that involved both public and private entities of different nationalities, with a view to bringing out the importance of risk management in facilitating project investment and financing in the region.

The workshop used real-life cases in both emerging and developed markets to demonstrate how various financing structures, risk mitigation techniques and corporate governance measures could enhance the bankability of infrastructure projects. It also discussed ways to manage the complex relationships between various stakeholders in Public-Private Partnerships.

The HKMA Infrastructure Financing Facilitation Office (IFFO) held the second Investors and Debt Financing Roundtables on 25 - 26 October 2018, attended by more than 70 senior representatives from international long-term institutional investors, debt financiers, multilateral financial institutions, project owners and developers, and other key stakeholders in infrastructure financing.

The main themes of this year’s Roundtables included collaboration and co-investment in emerging markets, and recent innovations to enhance bankability of infrastructure projects, making use of case studies. The Debt Financing Roundtable also discussed IFFO’s Reference Term Sheet for Non-Recourse Infrastructure Loans in Emerging Markets, which sets out the basic criteria and financiers’ preferences in respect of infrastructure loans’ legal framework, compliance with environmental, social and governance standards, risk mitigation measures and financial structuring. The term sheet is aimed to provide project owners and developers with a tool to make their projects more “bankable” and to facilitate private sector financing into projects in emerging markets.

Private capital participation is the key to bridge the infrastructure financing gap. In this seminar, the GIF will discuss its role in creating bankable infrastructure projects to further leverage private sector mobilisation. The presenters will also discuss active projects in Tunisia and Vietnam to highlight the GIF’s support in designing and preparing complex infrastructure projects.

Panel Discussion
Risk Mitigation in Infrastructure Financing

Private sector capital is much needed for financing the infrastructure projects in Belt and Road countries given their vast development needs yet limited fiscal resources. However, participation of private sector capital in infrastructure financing in emerging economies have been limited due to various types of risks. Therefore, properly mitigating various forms of risks is most critical to improving the bankability of infrastructure projects.

Comprising senior representatives from different key stakeholders in infrastructure financing, this panel will look into the risk factors that hinder private sector capital’s participation and more importantly, the corresponding mitigation solutions.

Panel Chair:

• Mr Eddie Yue, JP, Deputy Chief Executive, Hong Kong Monetary Authority (HKMA); Director, HKMA Infrastructure Financing Facilitation Office (IFFO)

Speakers (Listed in alphabetical order of organization name):

• Mr Ian Chung, PRC Leader & Senior Vice President, Asia Pacific, AECOM
• Mr Geert Peeters, Executive Director & Chief Financial Officer, CLP Holdings Limited
• Ms Wen Hong, Chief Representative, Hong Kong Representative Office, The Export-Import Bank of China
• Mr Mark Moseley, Chief Operating Officer, Global Infrastructure Hub
• Mr James Cameron, Co-Head of Infrastructure and Real Estate Group, Asia-Pacific, The Hongkong and Shanghai Banking Corporation Limited
• Mr Tim Warren, Head of Credit Lines, Asia Pacific, Zurich Insurance Company Ltd

Seminar
Building a Sustainable Belt and Road – Hong Kong’s Pivotal Role to Play

With growing interest from the private sector to capitalise on Belt and Road opportunities, this seminar is designed to raise awareness and promote participation of Hong Kong banks in Belt and Road projects. In line with Hong Kong’s commitment to sustainability, it will put a spotlight on financially sustainable and environmentally friendly projects along the Belt and Road countries.

Executive Workshop
Private Participation in Infrastructure Project Finance and Risk Mitigation

Private sector participation in project finance is critical to narrowing the huge infrastructure funding gap in emerging markets. In this workshop, IFC and MIGA will use real life examples to demonstrate how to improve project bankability, for example through the application of relevant products such as insurance, and identifying, managing and mitigating key risks throughout the project life cycle.

Policy Dialogue
Impact of China Policies on Global Economic Development

As the world's second largest economy and its growth engine, China will play a crucial role in shaping the global economic dynamics. This policy dialogue will look into how China's policies including RMB internationalisation and the Belt and Road Initiative will impact global economic and market developments.

Panel Chair:

• Mr Norman T.L. Chan, GBS, JP; Chief Executive, Hong Kong Monetary Authority

Speakers (Listed in alphabetical order of organization name):

• Mr Jin Liqun, President of the Asian Infrastructure Investment Bank
• Mr Hu Huaibang, Chairman of the China Development Bank
• Dr Andreas Dombret, Member of the Executive Board of the Deutsche Bundesbank
• Mr Stuart Gulliver, Group Chief Executive of HSBC Holdings plc
• Mr David Lipton, First Deputy Managing Director of the International Monetary Fund

Panel on Infrastructure Investment and Financing
Hong Kong: Gateway to Belt and Road Opportunities

Infrastructure financing experts in this panel will share their insights on what China’s Belt and Road Initiative mean for the outside world and how Hong Kong, in particular the recent establishment of the HKMA Infrastructure Financing Facilitation Office (IFFO), can help UK businesses to connect with the vast opportunities arising from it.

Panel Chair:

• Mr Norman T.L. Chan, GBS, JP; Chief Executive, Hong Kong Monetary Authority

Speakers (Listed in alphabetical order of organization name):

• Mr Alain Carrier, Senior Managing Director & Head of International, Head of Europe, Canada Pension Plan Investment Board
• Mr Debin Song, Deputy General Manager of Marketing Development, China Communications Construction Company (International)
• Mr Samir Assaf, Group Managing Director and Chief Executive of Global Banking and Markets, HSBC Holdings plc
• Mr Ram Mahidhara, Chief Investment Officer, International Finance Corporation
• Mr Ben Way, Chief Executive Officer, Macquarie Group Asia

Panel on Infrastructure Investment and Financing
Capturing Infrastructure Investments and Financing Opportunities through Hong Kong

Comprising of a panel of infrastructure project sponsors and financing experts, this session will discuss the opportunities and challenges arising from the Belt and Road Initiative, and how Hong Kong, with the recent establishment of the HKMA Infrastructure Financing Facilitation Office (IFFO), can further serve as a gateway to these opportunities.

Panel Chair:

• Dr the Hon Victor K Fung, GBM, GBS; Group Chairman, Fung Group

Speakers (Listed in alphabetical order of organization name):

• Dr. Wang Chunxin, Senior Economist of Economics and Strategic Planning Department of Bank of China (Hong Kong)
• Mr Chen Xi, General Manager, China Hua Neng Group Hong Kong Limited
• Mr Vincent Lee, JP; Executive Director (External), Hong Kong Monetary Authority; Deputy Director, HKMA Infrastructure Financing Facilitation Office
• Dr Ram Mahidhara, Chief Investment Officer, International Finance Corporation
• Mr Darcy Lai, Managing Director, Regional Head of Global Banking, Corporate and Institutional Banking, Greater China & North Asia, Standard Chartered Bank

The Program is designed to help senior decision-makers address critical questions about public-private partnerships in infrastructure, and provide participants with a deeper understanding of the dynamics that determine the success or failure of infrastructure projects and the complex relationship between private infrastructure providers and government. It also helps participants further develop the skills and judgment required to formulate and implement well-structured plans that will stand the test of time.

Opening Session
Keynote Speech by President
High-level Plenary Session
Thematic Session on Financial Connectivity
Opening Session

• Xiao Jie, Minister, Ministry of Finance of China
• Zhou Xiaochuan, Governor of People’s Bank of China
• Jim Yong Kim, President of World Bank Group
• Christine Lagarde, Managing Director of IMF
• Leung Chun-ying, Chief Executive of Hong Kong SAR

Panel Discussion on Mobilizing financing via multiple channels to unblock financing bottleneck
Moderator:

• Justin Lin Yifu, National School of Development

Panelists

• Dimitry Kumsishvili, Dep Prime Minister & Finance Minister, Georgia
• Mihaly Varga, Minister for National Economy, Hungary
• Sri Mulyani Indrawati, Minister of Finance, Indonesia
• Mohammad Ishaq Dar, Minister of Finance, Pakistan
• Philip Hammond, Chancellor of the Exchequer, UK
• Jin Liqun, Presdient of Asian Infrastructure Investment Bank
• K V Kamat, President of New Development Bank
• Hu Huaibang, Chairman of China Development Bank
• Stuart Gulliver, Group Chief Executive of HSBC

Panel Discussion on Promoting networking of financial institutions to strengthen financial cooperation
Moderator:

• Zhu Min, National Institute of Financial Research

Panelists:

• Jiri Rusnok, Czech Central Bank Governor
• Hu Xiaolian, Chairman of Export-Import Bank of China
• Stephen Schwarzman, Chairman and CEO of Blackstone Group
• Norman T.L. Chan, GBS, JP; Chief Executive, Hong Kong Monetary Authority
• John Thornton, Co-Chair of Brookings Institution
• Yi Huiman, Chairman of Industrial and Commercial Bank of China
• Jin Qi, Chairman of Silk Road Fund
• Jose Vinals, Chairman of Standard Chartered PLC

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Debt Financing and Investors’ Roundtable

The Debt Financing Roundtable was held on 23 March. Participants shared experience and opportunities in co-financing initiatives and programmes provided by the public and private sector institutions, and how infrastructure projects could be made more bankable through different risk mitigation measures.

The Investors’ Roundtable was held on 24 March. A group of like-minded investors interested in infrastructure investments, discussed on the outlook of the global infrastructure investment landscape, setting of common parameters for investing in emerging markets (such as investment structures, revenue characteristics, risk-return analyses as well as environment, social and governance factors), risk mitigations required to make projects more investable, and upcoming infrastructure investment opportunities.

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Seminar on Risk Mitigation Techniques in Infrastructure Financing for the Belt & Road Initiative

Financial capacity is one of the most important aspects to the success of the Belt & Road Initiative. The seminar provided an interactive forum to share insights on how market participants can build more capacity through the inclusion of sophisticated risk mitigation techniques available for infrastructure financing for the Belt & Road Initiative.

The seminar featured panel discussions on Legal and Regulatory View of Credit Insurance, the Role of Private Sector Credit Insurance, Partnership between Commercial Banks and Development/ Policy Banks, as well as Asian Development Bank's experience sharing on risk mitigation of financing infrastructure projects.

Panel on Infrastructure Financing

Infrastructure Financing in Asia: Prospects and Challenges

There is increasing focus on the vast potential and opportunities in infrastructure development and their related financing activities in Asia, which is given further impetus by China's implementation of the Belt and Road Initiative. According to the estimates of the Asian Development Bank, funding needs for infrastructure development in emerging economies in Asia alone would be around US$800 billion per year up to 2020. As an international financial centre and the most important springboard for Chinese corporates to go and expand overseas, Hong Kong is uniquely well positioned to facilitate infrastructure investments and their financing. At the same time, it remains a key challenge to make many of these infrastructure projects more "bankable". In light of these developments, the Hong Kong Monetary Authority has in July 2016 established the Infrastructure Financing Facilitation Office (IFFO) with a mission to facilitate infrastructure investments and their financing by bringing together and working with a cluster of key stakeholders in this field.

This panel brought together key stakeholders from the public and private sectors to exchange views on the opportunities and challenges surrounding infrastructure development and financing in Asia. It also looked into the pivotal role that Hong Kong can play in the centre of these exciting developments.

Moderator:

• Norman T.L. Chan, GBS, JP; Chief Executive, Hong Kong Monetary Authority

Panellists (Listed in alphabetical order of organization name):

• Kairat Kelimbetov, Governor, Astana International Financial Centre
• Suyi Kim, Head of Asia Pacific, Canada Pension Plan Investment Board
• Geert Peeters, Executive Director & Chief Financial Officer, CLP Holdings Limited
• Gordon French, Group General Manager and Head of Global Banking & Markets, Asia Pacific, HSBC
• Ben Way, Chief Executive Officer, Macquarie Group Asia
• Liu Jian, Director General, Department of International Economic Relations, Ministry of Finance, The People’s Republic of China

IFFO Infrastructure Investment Promotion Event

IFFO organised an Infrastructure Investment Promotion event in the AFF Deal Flow Matchmaking Session and invited representatives from the governments / investment promotion agencies of Bangladesh, Hungary, Iran, Kazakhstan and Turkey to present the investment environment of these countries and elaborate on the upcoming infrastructure projects and financing opportunities.

Presenting Organizations (Listed in alphabetical order of country name):

• Mohammad Sarwar Mahmood, Consul General, Consulate General of the People’s Republic of Bangladesh Hong Kong, Bangladesh
• Robert Heffner, Deputy Director, Hungarian Investment Promotion Agency, Hungary
• Davood Jalili, Vice Chairman, The Iranian Chamber of Commerce & Investment Hong Kong & Macau, Iran
• Baur Bektemirov, Managing Director, Astana International Financial Centre, Kazakhstan
• Ahmet İhsan Erdem, Vice President, Republic of Turkey Prime Ministry Investment Support and Promotion Agency, Turkey

President Jin Liqun on AIIB’s Operations and Projects

Mr Jin Liqun, President of Asian Infrastructure Investment Bank, talked about the operations and projects of AIIB, and cover topics including infrastructure project planning and management. The occasion attracted close to 300 industry leaders from various sectors including finance, architecture, building and construction engineering, project management and consulting, project development and operation, as well as professional services.

Thematic session on
China opportunities: The trends of RMB Internationalisation and the Belt and Road Strategy

In its 13th Five Year Plan, the Chinese government reaffirmed its
determination to move towards greater renminbi (RMB) capital account
convertibility and pledge to pursuing the Belt and Road Initiative. Driven by
the growing importance of the China market, Hong Kong will not only serve
as the largest centre for offshore RMB business, but would further reinforce
its role as a springboard for Chinese companies expanding overseas, and for
overseas corporations to enter the Mainland market. The most recent
establishment of the Infrastructure Financing Facilitation Office in Hong
Kong will also provide a useful springboard for corporations to conduct
infrastructure investment and financing along the Belt and Road region.

Hong Kong as the leading international financial centre offers a major
investment and financing platform and a deep capital market with a plethora
of services to facilitate these new developments. A panel of experts from the
financial sectors will give us an update on the latest China opportunities and
discuss how German corporates and financial institutions can make use of
Hong Kong to access the growing opportunities on the Mainland and explore
investments and financing of infrastructure projects along the Belt and Road
region.

Keynote Presentation: 

• Norman T.L. Chan, GBS, JP; Chief Executive, Hong Kong Monetary
  Authority 

Panel Chair:

• Norman T.L. Chan, GBS, JP; Chief Executive, Hong Kong Monetary
  Authority

Panellists (listed in alphabetical order):

• Steve Gross, Senior Managing Director, Macquarie Infrastructure and
  Real Assets
• Benjamin Hung, BBS, JP, Regional Chief Executive Officer, Greater
  China and North Asia, Standard Chartered Bank (Hong Kong) Limited
• Li Jiuzhong, Executive Director and Chief Risk Officer, Bank of China
  (Hong Kong) Limited
• Ms Gerrit Schneider, Chief Financial Officer Global Growth Europe,
  Manager Investor Relations, General Electric

Panel on Infrastructure Financing
China Opportunities: Sharpening Hong Kong’s unique edge in the Belt and Road Strategy

The continued opening up of the Chinese economy, steadfast progress of RMB internationalisation, and the implementation of the Belt and Road Initiative will continue to drive the economic development of China and its neighbouring economies. As an international financial centre and the leading global offshore RMB hub, Hong Kong would further reinforce its role as a springboard for Chinese companies expanding overseas, and for overseas corporations to enter the Mainland market. What are the advantages of Hong Kong with the accelerating implementation of the Belt and Road Initiative under the 13th Five Year Plan? The panel reviewed the latest development of RMB business in Hong Kong, and explored how the implementation of concessionary tax measures would help develop Hong Kong into a corporate treasury centre. In addition, the panel further reviewed how the recent establishment of the Infrastructure Financing Facilitation Office would accelerate Hong Kong's development into a major infrastructure financing centre.

Moderator:

• Eddie Yue, Deputy Chief Executive, Hong Kong Monetary Authority; Director, Infrastructure Financing Facilitation Office

Panellists (listed in alphabetical order):

• Peter Burnett, Managing Director, Regional Head, Corporate Finance, Greater China & North Asia, Standard Chartered Bank (Hong Kong ) Limited
• Francis Ho, Senior Director, Group Treasury & Project Finance, CLP Holdings Limited
• Julian Vella, Regional Head, Global Infrastructure, KPMG
• Peter Wong, Founding Chairman, International Association of CFOs and Corporate Treasurers (China)
• Ji Yang, Managing Director, Head of Corporate Sales and Structuring, Greater China, Citi