The very existence of mankind is being threatened by environmental issues such as pollution and climate change. In order to mitigate these problems, green bonds channel capital from both public and private sectors to finance a wide range of green projects.

This report covers the mechanism of green bond issues, as well as the development of the global, Chinese and local green bond markets. The environmental needs behind green bonds are also analyzed. At the end of the report, Our Hong Kong Foundation provides a set of policy considerations which the Government can explore. The considerations center around the establishment of a Qualifying Green Bond (QGB) scheme, which would include green bonds reviewed by qualified parties or with recognized standards. We believe such considerations would enable Hong Kong to catch up with the global development of green bonds.