Hong Kong green bond market briefing

This briefing by the Climate Bonds Initiative analyzes the Hong Kong green bond market in 2019, highlighting a trend toward issuer diversification, the launch of the first government green bond, and the dominance of low-carbon building projects. It also examines Hong Kong's role as a regional hub for the Greater Bay Area and the regulatory efforts by the HKMA, SFC, and HKEX to enhance green finance transparency and disclosure.

• Total green bond issuance by Hong Kong-domiciled entities in 2019 was USD 2.6 billion (HKD 20 billion), representing a 5% decrease (USD 140 million) compared to 2018.
• The 2019 market saw its highest level of issuer diversity to date, featuring four different issuer types. This included the first-ever government green bond from the HKSAR Government and the first Financial Corporate deal since 2016 by Link REIT.
• Low-carbon buildings were the primary focus of green bond proceeds in 2019, accounting for 61% of allocations, the highest share recorded. All nine deals in 2019 included funding for buildings to some extent.
• External reviews are highly prevalent in the Hong Kong market; 100% of 2019 green bond issuance volume benefited from at least one type of external review, with 67% receiving a second party opinion (SPO).
• There was a significant shift toward local currency denomination in 2019, with HKD-denominated deals accounting for 61% of the volume, marking the first year where the majority of volume was in local currency.
• The Greater Bay Area (GBA) green bond market grew by 54% year-on-year, with total volume from GBA-domiciled issuers reaching USD 6.4 billion in 2019.
• The HKSAR Government's inaugural green bond, priced on 21 May 2019, was sized at USD 1 billion with a 5-year tenor. It was oversubscribed with orders exceeding USD 4 billion from over 100 global institutional investors.
• Regulatory bodies have introduced measures to strengthen the market: the SFC provided guidance on enhanced disclosures for green or ESG funds in April 2019, and the HKEX announced changes to ESG Guide and Listing Rules in December 2019 requiring disclosure of significant climate-related issues.

APA

Lau, I., Almeida, M., Meng, A. X., & Giorgi, A. (2020). Hong Kong green bond market briefing. Climate Bonds Initiative. https://www.climatebonds.net/files/documents/publications/Hong-Kong-Green-Bond-Market-Briefing-2019.pdf

Chicago

Lau, Ivy, Miguel Almeida, Alan Xiangrui Meng, and Amanda Giorgi. Hong Kong green bond market briefing. Climate Bonds Initiative, 2020. https://www.climatebonds.net/files/documents/publications/Hong-Kong-Green-Bond-Market-Briefing-2019.pdf.

Wikipedia

{{cite report |last1=Lau |first1=Ivy |last2=Almeida |first2=Miguel |last3=Meng |first3=Alan Xiangrui |last4=Giorgi |first4=Amanda |title=Hong Kong green bond market briefing |publisher=Climate Bonds Initiative |date=May 2020 |url=https://www.climatebonds.net/files/documents/publications/Hong-Kong-Green-Bond-Market-Briefing-2019.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{lau2020hong, author = {Lau, Ivy and Almeida, Miguel and Meng, Alan Xiangrui and Giorgi, Amanda}, title = {{Hong Kong green bond market briefing}}, institution = {Climate Bonds Initiative}, year = {2020}, month = may, url = {https://www.climatebonds.net/files/documents/publications/Hong-Kong-Green-Bond-Market-Briefing-2019.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }