The Government of the Hong Kong Special Administrative Region (HKSAR Government) signed the Green Bond Pledge, a pledge that declares all bonds financing long term infrastructure and capital projects are to acknowledge the environment and climate risk, Energy Live News reports.

Hong Kong is the first Asian signatory on the pledge, now joining the US State Treasurers of California, New Mexico and Rhode Island, the Cities of Asheville and San Francisco, King County, San Francisco Public Utilities Commission, Government of Mexico City, Australian pension fund LGS, South Africa’s FedGroup and Luxembourg Green Exchange.

This move has proven Hong Kong to be aware and committed to come up with low carbon and sustainable solutions when planning infrastructure projects, the Climate Bonds Initiative said, adding that it aims to build on the goals of the Paris climate agreement.

“The HKSAR Government aims to develop and firmly establish Hong Kong as a leading hub for green finance in the region. Committed to fostering a robust green bond market in Hong Kong, we welcome like-minded issuers to arrange financing for their green projects through our deep and liquid capital markets,” said a spokesperson from the Financial Services and the Treasury Bureau of the HKSAR Government.

“Amongst other incentive measures to promote the development of green finance in Hong Kong, we have launched the Government Green Bond Programme to encourage more issuers to arrange financing for their green projects through capital markets in Hong Kong and grow the local green investor base.”