The knowns and unknowns of China’s green finance

This paper offers a brief review of the green financial reforms that are likely to be most relevant to supporting infrastructure investing. The authors have consolidated data on various aspects of green investment in China to present a first snapshot of the combined progress in mobilizing green finance. The review also notes some of the mechanisms needed to enable the reforms to reach their full potential. For the subset of sectors examined, green finance appears to have almost doubled since 2011, and certain segments are evolving particularly quickly. For example, in 2016, China became the largest green bond market with $30.2 billion issuance.

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