Definition

Green finance is the allocation of capital from banks, investors, insurance providers, and micro-credit institutions toward projects that promote sustainability and reduce environmental harm.

Purpose

To manage environmental and social risks, fund eco-friendly technologies, and align financial flows with the United Nations Sustainable Development Goals (SDGs).

Scope

Green finance includes renewable energy, sustainable transportation, green buildings, water and land resource management, and waste reduction initiatives.

Green Finance in Action by PCM

Sector	Application	Impact
Energy	Investment in solar, wind and hydro projects	Reduces reliance on fossil fuels
Transport	Funding electric vehicles and sustainable transit	Cuts emissions and improves air quality
Construction	Financing green buildings	Lowers energy consumption
Agriculture	Supporting sustainable farming practices	Protects biodiversity and reduces waste

As a major financial hub, Hong Kong is actively promoting green bonds and sustainable finance initiatives to position itself as a leader in Asia’s transition to a low-carbon economy. This aligns with China’s broader push for carbon neutrality by 2060. PCM is serving as the project leader's representative in Hong Kong for this initiative in 2026.