The Hong Kong Monetary Authority (HKMA) recently released information about the three-year Green and Sustainable Finance Grant Scheme (GSF Grant Scheme). The GSF Grant Scheme provides subsidies for eligible bond issues and loan borrowers to cover their general bond issuance and external review costs. The discussion below focuses on the subsidy for loan borrowers.
Eligible loan borrowers include first-time and repeat green and sustainable loan borrowers. Eligible green and sustainable loans must:-
Eligible external review costs include transaction-related fees for pre-issuance external review and post-issuance external review or reporting, and subject to a cap at HK$800,000 per loan. Interested borrowers are advised to seek assistance from their lenders to consult the HKMA on their behalf as to whether the eligibility requirements for the GSF Grant Scheme are preliminarily met. More details on the eligibility criteria and application process in respect of the GSF Grant Scheme can be accessed here.