State-owned lender Bank of China (BOC) is taking a leading role in driving the development of green financing and funding for clean energy projects.
BOC has just served as underwriter for the issuance of China’s first “carbon neutrality securitised product” on behalf of State Grid International Leasing Co., Ltd.
Funds raised via issue of the product will be used to invest in renewable energy projects including wind power, hydropower and solar power facilities.
BOC also recently underwrote the issue of the first carbon neutrality bonds on the Chinese interbank market, amidst an aggressive push from the Chinese central government to expand green financing, and the setting of ambitious new carbon mitigation targets.
In 2020 China announced that it would endeavour to achieve peak emissions before 2030, and carbon neutrality by 2060.