Hong Kong Strengthens Commitment to Sustainable Finance and Climate Action

At the Climate Business Forum: Asia Pacific 2025, financial leaders gathered in Hong Kong to underscore the region’s escalating commitment to addressing climate change and advancing sustainability initiatives.

Reflecting on a year marked by heightened climate impacts and shifting conversations, the Hong Kong Monetary Authority highlighted new milestones in the city's approach to sustainable finance. In a major step, Hong Kong was profiled for its full adoption of leading sustainability standards, while an enhanced sustainable finance taxonomy prototype was introduced to expand coverage into manufacturing and technology sectors. The prototype also brings forward new criteria for transition activities and climate change adaptation, aiming to guide institutions towards more robust actions. Over the past year, Hong Kong’s sustainable debt market saw remarkable growth, with issuance volumes rising by 61% to over US$84 billion, further increasing by 15% in the first half of 2025 alone. These advancements signal strong regional demand for climate-related financing and underscore the city’s role as a financial center supporting Asia’s low-carbon transition.

Despite these achievements, the practical challenges of balancing rapid climate action with economic development—especially in fossil fuel-reliant emerging markets—remain a focus of discussion. Through collaborative, open dialogues, stakeholders are encouraged to find solutions that are both robust and affordable, ensuring progress towards a resilient, inclusive, and low-carbon future.

This event serves as a testament to Hong Kong’s leadership in climate finance, and its drive for meaningful, practical solutions that enable sustainable growth across Asia Pacific.