Hong Kong Monetary Authority holds inaugural Northern Metropolis Financial Advisory Taskforce meeting on project financing and sustainable finance

The Hong Kong Monetary Authority announced that the Northern Metropolis Financial Advisory Taskforce, which it jointly established with The Hong Kong Association of Banks, held its first meeting to review the financing needs of Northern Metropolis projects and align banking sector support. The discussion focused on near-term development opportunities, financing approaches for different project structures and the use of sustainable finance for eligible projects. Representatives from the Development Bureau and the Innovation, Technology and Industry Bureau outlined key projects and funding needs over the next three years, including four land parcels in Phase 1 of the Hong Kong Park of the Hetao Shenzhen-Hong Kong Science and Technology Innovation Co-operation Zone and the first pilot area under large-scale land disposal in the Hung Shui Kiu/Ha Tsuen New Development Area, both of which are under tender. The participating banks said they would develop project-specific financing solutions for a range of models, including large-scale land disposal and public-private partnership style industry park companies, using tools such as syndicated lending, bond underwriting and related financial services. They also committed to reference the Hong Kong Nature-based Solutions Design Guidelines and the HKMA's Sustainable Finance Action Agenda when offering sustainable finance solutions for projects that meet the guidelines and international green and sustainable finance standards. The taskforce will continue to explore practical financing solutions as Northern Metropolis development progresses and will work with the government and other stakeholders to support implementation of the projects.