Monetary Authority of Singapore aims to drive growth in sustainable finance.
- Singapore's central bank intends the programme to stimulate a strong and diverse financial ecosystem for sustainable growth.
- The first investment will be a $100mn placement in the Bank for international Settlements' green bond fund.
- MAS estimates that Southeast Asian nations will need $200 billion of investments every year until 2030 in projects that benefit the environment and have low carbon footprints.
What this means
This funding initiative shows just how proactive central authorities can be when they want to effect change. MAS says it will determine fund managers' commitment to driving green efforts (by evaluating environmental risk and stimulating growth in sustainable industries ) and allocate funds on that basis.