The Japan Financial Services Agency published minutes of the 12th meeting of its “Study Group on Transition Finance Environment Improvement”, covering domestic and international developments in transition finance, an interim discussion on promoting transition finance in Asia through an “Inclusive Approach”, and planned revisions to sector technical roadmaps used in transition finance. Members discussed how roadmaps and taxonomies should be used, with several arguing Japan does not need to create a taxonomy at this stage given existing tools such as the Ministry of the Environment’s green list and accumulated transition finance cases, while also noting that taxonomies can be useful for broader stakeholder reference and may help expand transition finance to small and medium-sized enterprises and regional initiatives. For Asia, discussion emphasised flexibility by country and region, the value of credible national and sector roadmaps to support financing decisions and avoid carbon lock-in, and the need to explain how the Inclusive Approach differs from ordinary finance while aligning with international standards and clarifying criteria and reference documents. Members also noted the role of public-private outreach to jurisdictions with lower awareness, cooperation with ASEAN governments, and the limits of private finance for higher-risk emerging-market projects without complementary measures such as credit enhancement and involvement of institutions including JBIC, JICA, NEXI and the Asian Development Bank. On sector roadmaps, members asked for clearer presentation of cross-sector linkages for technologies such as carbon capture and storage, hydrogen and clean fuels, and for more quantification and transparency on investor-driven update requests; the chair concluded the roadmap revision work would proceed in line with the secretariat’s proposed approach.
Japan Financial Services Agency 2026-03-31
Japan Financial Services Agency releases minutes of transition finance study group focusing on Asia Inclusive Approach and sector roadmap updates
The Japan Financial Services Agency published minutes of the 12th meeting of its Study Group on Transition Finance Environment Improvement, detailing discussions on transition finance developments, an “Inclusive Approach” to promoting transition finance in Asia, and planned revisions to sector technical roadmaps. Members debated the need for a Japanese taxonomy versus reliance on existing tools, highlighted the importance of flexible, credible national and sector roadmaps and public-private outreach in Asia, and called for clearer cross-sector linkages and greater quantification in roadmap revisions, which will proceed as proposed by the secretariat.