Building a World Top Green and Sustainable Bond Hub

35 A Roadmap for Hong Kong as a Green and Sustainable Bond Hub of regulatory rules that are in line with financial services industry regulations in Hong Kong. This would enable them to vigorously promote expansion of the green bond market and simultaneously improve market transparency. 4.4 Action 4: Attract More Talent with a Clear Skill Framework The Hong Kong Government officially launched the Green and Sustainable Finance Training Pilot Program in December 2022. The scheme provides funding to eligible applicants to join green finance-related courses and promotes active participation among practitioners in the financial sector. At present, the training courses are mainly provided by local universities, professional associations and international training institutions in Hong Kong. The total subsidy amounts to 200 million Hong Kong dollars, of which the repayment ratios for general applicants and full-time students are 80% and 100% respectively, and the upper limit of personal subsidy is 10,000 Hong Kong dollars per applicant. Eligibility for funding requires being a Hong Kong resident who aspires to engage in green and sustainable finance- related work. In addition, the Hong Kong Government also has launched funding schemes that local research institutions can apply for to help with formulating green and sustainable financial talent development strategies. In the initial stage of the green and sustainable transformation, relevant activities carried out by the Hong Kong Government will play a key role in raising public awareness and building up a green and sustainable finance talent pool in Hong Kong. Nonetheless, in the short term, the Hong Kong Government should consider expanding the scope of eligible groups for the Green and Sustainable Finance Training Pilot Program. Currently, it is only open for Hong Kong residents who are interested in working in green finance. It is equally important to improve practitioners’ or foreign students’ understanding of green finance, both in Hong Kong and generally. The Hong Kong Government may consider relaxing the conditions for trainees to receive the subsidies for getting green finance training in Hong Kong. It should at least expand the eligible group beyond Hong Kong residents to include the Greater Bay Area residents, so as to increase the talent pool. For mainland or international groups who are interested in receiving training in Hong Kong, the subsidies only cover a small amount of their overall costs for them to come to the city. However, their being in Hong Kong offers perfect opportunities for them to connect with the green finance industry in the city and increase its chances of attracting talent. In terms of long-term action, the Hong Kong Government needs to develop a skill framework for green bond and green finance talent. To achieve this, it should map out a systematic set of skills that are required and urgently needed to boost the green finance industry. After that, the training courses and programs need to be renewed and further categorized following the skill framework. Hence, we recommend that the government considers formulating a green and sustainable finance talent strategy. Clearly, the pilot program is successful. It is time to plan ahead in a more organized way.