Dubai Mirrors Hong Kong’s Green Finance Strategy: A Push for Harmonised Regulations to Bolster Asia-Middle East Investment Corridor

Special Report | Dubai looks to Hong Kong as a model for developing green finance, promoting Asia-Middle East connections

An analyst suggests that aligning standards and rules could potentially free up more funds for environmentally conscious initiatives in Asia and the Middle East.

This will bolster the investment link between Asia and the Middle East as officials from both regions harmonize their regulatory systems to encourage sustainable finance, states Ian Johnston, the Chief Executive Officer of the Dubai Financial Services Authority (DFSA).

As overseers of the financial market, our role involves facilitating sustainable finance to back the eco-friendly policies established by the governments," he expressed during a discussion with the Post on Tuesday. The collaboration with the Hong Kong Monetary Authority [HKMA] "will amplify that impact," he further stated.

On Monday, the two financial market regulators decided to strengthen their cooperation in the sector by improving international communication, intensifying the exchange of information, and carrying out research to boost the growth of the industry.

Green financing backs initiatives that tackle diverse environmental problems such as global warming and carbon emissions. A year ago, when Dubai and Hong Kong inked a deal to set up the Asia-Middle East economic corridor, this area was given significant attention. This corridor is aimed at promoting transnational trade, family businesses, and advancements in financial technology.