DFSA And HKMA Host First Climate Finance Conference To Foster Sustainable Investment

The Dubai Financial Services Authority (DFSA) and the Hong Kong Monetary Authority (HKMA) concluded their first Joint Climate Finance Conference on 16th September. Held in Hong Kong, the hybrid event saw over 240 participants from financial institutions, industry associations, and international organisations from both regions.

Under the theme "Building a Net-Zero Asia – Middle East Corridor," the conference addressed the demand for transition finance and the existing gap. It also explored opportunities for enhanced collaboration between Hong Kong and Dubai. The discussions highlighted each market's vision for net-zero transition and ways to encourage investment in this area.

The HKMA and DFSA signed a Memorandum of Understanding (MoU) to deepen their strategic partnership on sustainable finance. This agreement aims to enhance cross-border dialogue, exchange information on recent trends, and conduct joint research and events to drive progress in climate finance.

The Chief Executive of the DFSA, Ian Johnston, emphasised the importance of strong partnerships in achieving net-zero targets. He stated, "As we strive to achieve net-zero targets, it is crucial to establish strong partnerships that allow for the exchange of expertise, regulatory alignment, and the promotion of sustainable investment opportunities." Johnston noted that the MoU with HKMA is a pivotal step in reinforcing cooperation between Dubai and Hong Kong in climate finance.

Johnston also highlighted Dubai's commitment through its Economic Agenda D33 to lead environmental, social, and governance initiatives. He added, "Today's signing is a testament to our shared ambition with Hong Kong to accelerate the transition towards a low-carbon economy."

Collaborative Efforts for Sustainable Finance

The Chief Executive of the HKMA, Eddie Yue, underscored the global challenge posed by climate change and the need for collaborative responses. He said, "Climate change is a global challenge that requires a collaborative response. Hong Kong and Dubai, as the sustainable finance hubs in Asia and the Middle East, and the key gateways between East and West, can and should do more together."

Yue expressed optimism about future collaborations between HKMA and DFSA. He remarked, "The inaugural conference is our first effort to build a 'Net-zero Asia – Middle East Corridor'. I look forward to many more fruitful collaborations between the HKMA and the DFSA."

The enhanced partnership between HKMA and DFSA will support both regions in exploring opportunities to mobilise capital for green and sustainable growth. This collaboration aims to promote sustainable finance initiatives including transition finance.

The conference marked a significant step towards fostering greater cooperation between Hong Kong and Dubai in addressing climate finance challenges. The event underscored both regions' commitment to driving progress towards a low-carbon economy through strategic partnerships.

With inputs from WAM