China and Singapore will unite “ on concrete initiatives that will catalyze capital flows to endorse a credible and inclusive transition to a low carbon future for our countries and the region. ”
Major Asian economies China and Singapore have set up a duty force to deepen bilateral cooperation in green and transition finance. The move is set at facilitating greater public-private sector collaboration for a low-carbon future in the region.
The Monetary Authority of Singapore (MAS) published it was uniting with the People’s Bank of China (PBoC) to establish the China-Singapore Green Finance Taskforce (GFTF). With the GFTF, the duo aims to co-develop a set of financial norms, products, technologies, and definitions to lower carbon footprints.
According to the MAS ’ assistant managing director and chief sustainability officer, Gillian Tan, public-private participants from China and Singapore will collaborate “ on concrete initiatives that will catalyze capital flows to endorse a credible and inclusive transition to a low carbon future for our countries and the region. ”
For starters, the GFTF will permit the MAS and PBoC to find common ground for taxonomies and definitions with regard to each other’s existing transition activities. The task force will similarly enable the countries to strengthen sustainability bond request connectivity, which includes two-way access to green and transition bond products.
The GFTF’s technology action will involve MetaVerse Green Exchange, a licensed crypto exchange from Singapore, and Beijing Green Exchange, a Beijing municipal government-approved company, to help facilitate sustainable finance adoption. The two companies are similarly assigned with piloting digital green bonds with carbon credits.
Related: Crypto lender Babel gets extended creditor protection in Singapore
Chinese banks are reportedly opening bank accounts for ruled crypto companies, with several acting as a payment layer for the crypto platforms.
While the Chinese state-owned Bank of Communications is in talks to open accounts for ruled companies, ZA Bank, Hong Kong’s largest virtual bank, will act as the settlement bank for the crypto firms, according to Wall Street Journal report.
(ARIJIT SARKAR, Cointelegraph, 2023)