China's Guangdong seeks to create Greater Bay carbon market

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BEIJING : China's southern Guangdong province will study establishing a carbon trading market in the Guangdong-Hong Kong-Macao region, known as the Greater Bay Area, in 2022, the latest bid to draw the economies of the two territories closer to the mainland.The Greater Bay Area, comprising nine cities in

BEIJING : China's southern Guangdong province will study establishing a carbon trading market in the Guangdong-Hong Kong-Macao region, known as the Greater Bay Area, in 2022, the latest bid to draw the economies of the two territories closer to the mainland.

In September, China kicked off Wealth Management Connect to bring combined fund flows of about $46 billion to the region. Bai Hexiang, president of the central bank's Guangdong branch, said during the annual parliament gathering last week that the launch of a regional carbon market would help the region take the lead in achieving the climate change goals and help enhance the international status of China's carbon market.

Analysts expect China to continue operating its national and regional carbon markets for now, as the national scheme expands its industrial coverage and gains liquidity.

 

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