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ARTICLE · 04 NOVEMBER 2021

Singapore's Green Finance Drive

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The term "green finance" refers to financial products and services provided for project investment and financing, project operation and risk management in sectors such as environmental protection, energy efficiency, ...

SingaporeEnvironment

What is green finance?

The term "green finance" refers to financial products and services provided for project investment and financing, project operation and risk management in sectors such as environmental protection, energy efficiency, clean energy, green transport and construction, with the aim of supporting environmental improvement, responding to climate change and encouraging resource conservation, efficient use and other economic activities. Put more simply, green finance involves the engagement of traditional capital markets to create financial products and services which deliver both investable returns and environmentally positive outcomes1. According to the United Nations Environment Programme, green financing is intended to "increase the level of financial flows (from banking, micro-credit, insurance and investment) from the public, private and not-for-profit sectors to sustainable development priorities." 2 In doing so, green finance not only offers

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