Environmental Stress Testing

Environmental Stress Testing

ASIAN-BOND-MARKET-SUMMIT

EMDF presents drought stress testing tool at the 12th Asian Bond Markets Summit

16 November 2017, Singapore

As part of the Asian Development Bank’s (ADB) Asian Bond Markets Initiative, aiming at deepening the development of bond markets in Asia, the 12th Asian Bond Markets Summit highlighted twenty years of bond market growth since the Asian financial crisis in 1997 and identified recent market shifts and opportunities in relation to the Belt and Road Initiative. As an established fixed-income market event, the summit drew on the active participation from a wide range of market participants.

At the ESG and Green Bonds panel discussion, EMDF’s Qi Lan presented the drought stress testing tool, which was launched globally in March. Co-panelists included representatives from the World Bank, HSBC, City Development Ltd., AmInvestment Bank and CLP. The panel drew attention to the global trend of the increasing incorporation environmental, social and governance (ESG) factors into institutional investors’ decision making process. Green bonds were highlighted as an increasingly popular financing vehicle in the region facilitating this process, particularly as Southeast Asia is adopting a common standard for green bonds.