We must therefore ensure that we are prepared to embrace it. Hong Kong’s role as the Asian hub for sustainable finance 1/4  BIS central bankers' speeches  8. What role can Hong Kong play in this global effort? Most importantly, it is critical that we use our strengths as an international financial centre to contribute to this endeavour. 9. Hong Kong is already one of the major green finance hubs globally. Last year, green bonds arranged and issued in Hong Kong reached $ billion, up from $ billion in 2017. The issuers included multilateral development banks, such as the ADB and the European Investment Bank, as well as private sector participants from Hong Kong, Mainland China and abroad. 10. In fact, a green finance ecosystem is already taking shape in Hong Kong. Many international green advisory firms and external reviewers have a presence in Hong Kong. They combine onthe-ground knowledge of the Asian market with robust international standards. We also have a local Green Finance Certification Scheme developed by the Hong Kong Quality Assurance Agency (HKQAA) with reference to a number of widely recognised international and Mainland standards. 11. The Hong Kong Government is a strong supporter of green finance, and puts in place supportive policies to promote green finance, such as the Green Bond Grant Scheme, which subsidises the cost of obtaining certification under the HKQAA’s Green Finance Certification Scheme, as well as the Pilot Bond Grant Scheme, which covers issuance costs of eligible firsttime bond issuers in Hong Kong, including green bonds.
By going through the issuance process ourselves, along with the help of external parties, we have hopefully showcased to potential green bond issuers, both locally and overseas, that Hong Kong is a convenient platform for issuing green bonds, for three reasons:  3/4  BIS central bankers' speeches  (i) Hong Kong has a strong presence of finance and legal professionals, who can advise on all aspects of the bond offering and assist in arranging, managing, co-ordinating and marketing the green bond certification and issuance; (ii) Hong Kong combines the best market practice from internationally renowned green reviewers and local agencies. For example, we obtained a Second Party Opinion from Vigeo Eiris for the Green Bond Framework and the inaugural transaction under the Framework has also received the “Green Finance Certificate” (Pre-issuance) from the HKQAA; and (iii) Hong Kong is home to leading international institutional investors, including many of the investors who have made strong commitments to green investments. 20. During the roadshow for the green bond, we were joined by our Environment Bureau colleagues to reach out to overseas investors in major cities such as London, New York, Paris, and Frankfurt, in order to demonstrate to the international community the HKSAR Government’s coordinated commitment to green finance and our broader objective to address climate change risks. We believe the exercise has gone a long way in asserting Hong Kong’s branding as the premier regional green finance hub to the leading institutional investors around the world.