Featured Product

    FSC Taiwan Launches Green Finance Action Plan 2.0

    November 02, 2020

    FSC Taiwan launched the “Green Finance Action Plan 2.0” for joint creation of a sustainable finance ecosystem by public and private sectors. The Action Plan was created to use financial mechanisms to increase the awareness of companies and investors of environmental, social, and governance (ESG) issues, to facilitate sustainable development and cooperation between the public and private sectors to achieve carbon-reduction and sustainable development goals of Taiwan.

    The “Green Finance Action Plan 1.0” included 25 measures that covered seven aspects: credit, investment, capital market fundraising, professional development, promotion of further development of green financial products and services, information disclosure, and promotion of the concept of green sustainability. For the Green Finance Action Plan 2.0, short-term and medium-term objectives have been established and these include three core strategies and eight major aspects to be addressed through the implementation of 38 concrete measures (of which 17 measures are a continuation of Plan 1.0 while 21 have been newly added for Plan 2.0). The short-term objective for the Action Plan includes building a framework and the foundation conducive to the effective operation of green and sustainable finance market, increasing information transparency, and channeling funds to support green and sustainable development industries. The medium-term objective involves guiding the financial market on addressing the potential risks of climate change, capitalizing on the associated opportunities, and strengthening the competitiveness of our financial industry and market. The major aspects to be addressed through the implementation of various measures include the following:

    • Credit—Eight measures that aim to encourage, through incentives and support programs, financial institutions to grant credit and loans to green energy industries and sustainable development projects and to adopt measures in line with international norms
    • Investment—Five measures that aim to advocate responsible investment by amending relevant rules and guidelines and encourage financial institutions and government agencies to invest in sustainable development projects
    • Capital market fundraising—One measure involving continued promotion of green bond issuance and investment and the other involving development of sustainability bonds to diversify the financial products and financing channels in the country's capital market
    • Professional development—A measure for cultivating financial professionals with expertise in green and sustainable finance in the hope to build capability for developing sustainable finance
    • Promotion of further development of green financial products or services—Seven measures that aim to encourage financial institutions to develop innovative green financial products or services that will meet the financial demands of businesses and investors pursuing low-carbon transformation and sustainable development
    • Information disclosure—Five measures that aim to improve the quality, consistency, and transparency of corporate ESG disclosure by amending related regulations and establishing integration platforms in an effort to provide the financial market participants with comparable, reliable, and comprehensive information
    • Prudential supervision—Two measures involving a new aspect to the Action Plan 2.0 that aims to prompt financial institutions to examine climate-related risks and their ability to address such risks
    • International connections and incentive mechanisms—Eight measures pertaining to studying the scope (taxonomy) of sustainable finance in reference to international practices and through incentives


    Related Links

    Keywords: Asia Pacific, Taiwan, Banking, Insurance, Securities, Green Finance, ESG, Climate Change Risk, Disclosure, Action Plan, Sustainable Finance, FSC Taiwan

    Featured Experts
    Related Articles

    ISSB Sustainability Standards Expected to Become Global Baseline

    The finalization of the two sustainability disclosure standards—IFRS S1 and IFRS S2—is expected to be a significant step forward in the harmonization of sustainability disclosures worldwide.

    September 18, 2023 WebPage Regulatory News

    IOSCO, BIS, and FSB to Intensify Focus on Decentralized Finance

    Decentralized finance (DeFi) is expected to increase in prominence, finding traction in use cases such as lending, trading, and investing, without the intermediation of traditional financial institutions.

    September 18, 2023 WebPage Regulatory News

    BCBS Assesses NSFR and Large Exposures Rules in US

    The Basel Committee on Banking Supervision (BCBS) published reports that assessed the overall implementation of the net stable funding ratio (NSFR) and the large exposures rules in the U.S.

    September 14, 2023 WebPage Regulatory News

    Global Agencies Focus on ESG Data, Climate Litigation and Nature Risks

    At the global level, supervisory efforts are increasingly focused on addressing climate risks via better quality data and innovative use of technologies such as generative artificial intelligence (AI) and blockchain.

    September 14, 2023 WebPage Regulatory News

    ISSB Standards Shine Spotlight on Comparability of ESG Disclosures

    The finalization of the IFRS sustainability disclosure standards in late June 2023 has brought to the forefront the themes of the harmonization of sustainability disclosures

    August 22, 2023 WebPage Regulatory News

    EBA Issues Several Regulatory and Reporting Updates for Banks

    The European Banking Authority (EBA) recently issued several regulatory publications impacting the banking sector.

    August 10, 2023 WebPage Regulatory News

    BCBS Proposes to Revise Core Principles for Banking Supervision

    The Basel Committee on Banking Supervision (BCBS) launched a consultation on revisions to the core principles for effective banking supervision, with the comment period ending on October 06, 2023.

    August 04, 2023 WebPage Regulatory News

    US Proposes Final Basel Rules, Transition Period to Start in July 2025

    The U.S. banking agencies (FDIC, FED, and OCC) recently proposed rules implementing the final Basel III reforms, also known as the Basel III Endgame.

    August 04, 2023 WebPage Regulatory News

    FSB Report Outlines Next Steps for Climate Risk Roadmap

    The Financial Stability Board (FSB) recently published the second annual progress report on the July 2021 roadmap to address climate-related financial risks.

    August 04, 2023 WebPage Regulatory News

    EBA Plans on Ad-hoc ESG Data Collection and Climate Scenario Exercise

    The recognition of climate change as a systemic risk to the global economy has further intensified regulatory and supervisory focus on monitoring of the environmental, social, and governance (ESG) risks.

    July 31, 2023 WebPage Regulatory News
    RESULTS 1 - 10 OF 8931