Xu Zhengyu: Will launch a new "Green and Sustainable Financial Technology Concept Validation Testing Funding Program"

On June 28, the Secretary for Financial Services and the Treasury of Hong Kong, Christopher Hui, announced a new "Green and Sustainable Fintech Proof-of-Concept Subsidy Scheme" to encourage the development of more financial technology projects in the industry and promote their commercialization. The scheme will be implemented by Cyberport and will accept applications from June 28 to September 20 this year. Details of the application will be announced by Cyberport. Hui encouraged eligible green fintech companies and enterprises to actively participate in the new scheme and make use of the resources provided to lead the green transformation of businesses with green and sustainable fintech solutions. Hui mentioned that the scheme provides early-stage funding to promote collaboration between technology companies or research institutions already registered and conducting green fintech activities in Hong Kong, and local enterprises benefiting from the adoption of green and sustainable fintech solutions (e.g. financial institutions, listed companies, carbon credit agencies, etc.) to develop projects that address industry pain points without existing use cases in the market. This will help these solutions commercialize and validate their concepts, allowing potential green and sustainable fintech solutions to be more widely used in Hong Kong's business environment. Taking reference from the Fintech Proof-of-Concept Subsidy Scheme, the new scheme applies to five categories that combine fintech and sustainable development goals, including (i) green and digital finance and investment, (ii) ESG disclosure, compliance and regulatory reporting, (iii) carbon trading, analysis, and technology, (iv) ESG data, intelligence, and analysis, and (v) ESG/climate risk models and assessments. The maximum subsidy amount for each project is HK$150,000. Hui pointed out that technology and sustainable development are key forces shaping the future of the financial industry. He expressed confidence that the new scheme can effectively drive the comprehensive development of green fintech in Hong Kong and enhance the motivation for businesses to practice green fintech. This will further propel Hong Kong to become a hub for green fintech in Asia.