REGULATING GREEN BOND DISCLOSURE IN CHINA

Abstract

Compared with other bond issuers, green bond issuers are strictly required to prove that they actually allocate the fast and preferential proceeds obtained in the name of “green” to eligible green projects. Since 2015, Chinese green bonds have blossomed over the past years, and the current scale of Chinses green bond issuance ranks second globally. As a nascent participant in green bond market, Chinese regulatory bodies set out various rules concerning green bond disclosure to mitigate the risk of “green-wash” and avoid infringing on the rights of green investors. However, the regulatory mechanism is not perfect and the domestic rules requires high-level convergence with international standards. This thesis mainly compares Chinese standards with global practices, exploring the existing problems of Chinese green bond regulations, and then put forward ideas for future regulatory improvement.