Green Finance Reform and Green Transformation

The ultimate purpose of green finance reform is to green the entire financial system and mobilize private capital towards green investments and away from resource-intensive and pollution-intensive investments. China’s strategic framework for green finance reform contains four parts: China’s national development strategy and goals, its “supply” of green finance (institutions and instruments), the “demand” for green finance (investment needs and effective demand), and enabling system conditions. The four elements constitute a holistic, inter-related system and changes in one part will lead to changes in the other parts. The government’s vision for development and environment sets the overall framework, but the enabling (or “driving”) conditions are the keys for converting investment needs into actual demand for finance.

Task Force: Green Energy, Investment and Trade Topic: Sustainable Finance Year: 2015 Phase: Phase V (2012-2017) Concluded