Hong Kong Leads Asia Green Bond Sales Amid Infrastructure Boom
- Nearly two thirds of green debt proceeds used for construction
- Budget deficit reached HK$100 billion for latest fiscal year
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Hong Kong’s popular green bonds are becoming a key tool to cover infrastructure costs set to peak in the next several years.
The city has sold about $3.9 billion of green notes this year to fund projects including stadiums and hospitals. There are plans to offer a total of HK$120 billion ($15.4 billion) in green and infrastructure bonds for the fiscal year ending March 2025. Nearly two thirds of green debt proceeds had been allocated to construction, according to Bloomberg calculations based on data in the government’s 2023 Green Bond Report.