Core Viewpoint - Shanghai and Hong Kong are not in a competitive relationship but are interdependent and collaborative, with Shanghai serving as a strong support and important complement to Hong Kong's status as an international financial center [1] Group 1: Impact of Offshore Finance Development - The development of offshore finance in Shanghai may divert some offshore financial business from Hong Kong due to favorable policies and reduced operational costs in mainland China [2] - The rapid growth of Shanghai's offshore finance creates job opportunities and may attract financial talent from Hong Kong if Shanghai offers better compensation and career advancement [2] - Increased competition from Shanghai's financial institutions in offshore financial products challenges Hong Kong's traditional advantages, particularly in offshore RMB products [2] Group 2: Positive Collaborative Effects - Hong Kong's experience in RMB clearing and trading, combined with Shanghai's policy support, presents significant cooperation potential in cross-border RMB flow and offshore financial product innovation [3] - The development of Shanghai's offshore finance strengthens financial ties between the two cities, with Hong Kong acting as a bridge to international markets for mainland enterprises [3] - Shanghai's offshore finance can enhance Hong Kong's financial institutions' innovation in products and services, providing a stabilizing effect on Hong Kong's financial center [3] Group 3: Strategies for Collaborative Development - Hong Kong should leverage its advantages in the offshore RMB market to enhance services in clearing, trading, and investment, focusing on promoting RMB internationalization [4] - Strengthening cooperation mechanisms between Shanghai and Hong Kong can optimize cross-border payment systems and enhance collaboration in emerging fields like green finance [5] - Both cities should invest in talent development, with Hong Kong focusing on cultivating interdisciplinary financial talent and Shanghai optimizing its talent attraction mechanisms [6] Group 4: Shanghai's Role as a Supportive Partner - Shanghai's robust real economy and industrial resources provide extensive business opportunities for Hong Kong financial institutions, particularly in manufacturing and technology sectors [7] - Shanghai's financial policy innovations can serve as a reference for optimizing Hong Kong's financial policies, enhancing cross-border regulatory cooperation [7] - Strengthening cooperation in securities markets and financial derivatives can improve risk management capabilities for both cities [7] Group 5: Enhancing Offshore Financial Cooperation - Expanding interconnectivity mechanisms like "Shanghai-Hong Kong Stock Connect" and "Bond Connect" can increase trading varieties and enhance market efficiency [8] - Jointly developing offshore financial products, such as offshore bonds and funds, can attract global investment and support green development initiatives [8] - Establishing a platform for regular financial talent exchange can facilitate knowledge sharing and enhance the professional capabilities of financial personnel in both cities [9] Group 6: Regulatory Coordination - Establishing regular communication mechanisms between financial regulators in Shanghai and Hong Kong can ensure policy alignment and prevent regulatory arbitrage [10] - Collaborative efforts in monitoring cross-border financial risks and sharing information can enhance the stability of financial markets in both regions [10] - Utilizing technology for risk monitoring can help prevent cross-border financial crimes and ensure market security [10] Group 7: Regional Collaboration - Hong Kong's active participation in the Guangdong-Hong Kong-Macao Greater Bay Area development can strengthen financial cooperation with Shanghai and other cities in the Yangtze River Delta [11] - Optimizing cross-border payment systems and enhancing collaboration in green finance can create a competitive financial industry cluster [11] - Leveraging the influence of both cities in international finance can provide financial support for offshore economic projects in related countries [11]

Paris, 15 April 2025 Capitalised terms used herein shall have the meaning specified for such terms in the Caisse Française de Financement Local base prospectus to the €75,000,000,000 Euro Medium Term Note Programme dated 8 July 2024 (the “Base Prospectus”). Caisse Française de Financement Local has decided to issue on 17 April 2025 – Euro 1,000,000,000 Fixed Rate Obligations Foncières due 17 April 2035. The net proceeds of this issue will be used to finance and/or refinance, in whole or in part, the Eligib ...

Investment Rating - The report emphasizes the importance of developing carbon finance in the banking and insurance sectors to support green and low-carbon economies, aligning with national dual carbon goals [2][7]. Core Insights - The report outlines a comprehensive plan for enhancing green finance, focusing on carbon market construction and innovative financial services related to carbon accounts [2][8]. - It highlights the necessity of integrating climate investment and financing into the financial system, addressing both mitigation and adaptation strategies for climate change [14][15]. Summary by Sections Section 1: Supporting Carbon Market Construction - The report discusses the implementation of the "High-Quality Development Implementation Plan for Green Finance in Banking and Insurance," which aims to strengthen financial support for key areas, including carbon market development [2][8]. - It identifies carbon trading as a market-based policy tool to encourage companies to reduce carbon emissions and adjust energy structures [7][9]. Section 2: Innovating Financial Services Around Carbon Accounts - Carbon accounts are becoming essential for financial pricing, with banks using them to monitor and manage emissions and reduction efforts [10][11]. - The report encourages banks to leverage carbon account data to create innovative financial products, such as "carbon loans," which provide differentiated support based on carbon reduction performance [10][12]. Section 3: Climate Investment and Financing - The report defines climate investment and financing as crucial for achieving national low-carbon development goals, focusing on both mitigation and adaptation efforts [14][15]. - It outlines various strategies for mitigating climate change, including optimizing energy structures and supporting carbon capture technologies [16][17]. - The report also emphasizes the importance of financing agricultural projects that enhance climate resilience, such as high-standard farmland construction [17].

Core Viewpoint - The article emphasizes the importance of financial support, monetary and fiscal policies, and government reforms in achieving sustainable development goals, highlighting their feasibility and expected positive effects [1][15]. Financial Support Policy Framework - The policy framework focuses on innovative tools and structural optimization to support sustainable development [2]. - Structural monetary policy tools, such as "swap convenience" and "repo increase re-lending," are expected to expand operations to over 300 billion yuan in 2025, targeting technology innovation, green transformation, and support for small and micro enterprises [3]. Monetary Policy - The report advocates for a moderately loose monetary policy, with measures like interest rate cuts and reserve requirement ratio reductions to maintain liquidity and align social financing with economic growth [3][5]. - The expected outcome includes a more favorable financing environment for sustainable development projects, reducing costs and attracting investments in green energy and environmental protection [5]. Fiscal Policy - A more proactive fiscal policy is proposed, with a deficit rate set at 4% for 2025, increasing the deficit scale to 5.66 trillion yuan, which will support infrastructure investment and housing projects [6][8]. - Special bonds and local government bonds are emphasized to ensure funds are directed towards significant strategic areas, enhancing the effectiveness of fiscal spending [6][8]. Capital Market Reform - The report suggests deepening capital market reforms to attract long-term funds and optimize market ecology, including easing restrictions on social security and insurance funds in equity markets [4]. - The introduction of digital finance into the financial standard system aims to enhance resource allocation efficiency and guide capital towards high-value-added sectors [4]. Real Estate Financial Strategies - Strategies include lowering mortgage rates and down payment ratios to stabilize the real estate market, with a focus on preventing debt default risks [7][11]. - Investments in new urbanization and high-standard farmland construction are highlighted as crucial for sustainable development [7]. Reform and Market Dynamics - The report calls for breaking down institutional barriers and enhancing market vitality through reforms in tax collection and financial standards [10][12]. - Strengthening financial regulation and promoting a unified national market are essential for risk prevention and resource allocation efficiency [12]. Conclusion - The combination of financial support, policy coordination, and deepened reforms is positioned as a sustainable development pathway, with a focus on achieving a GDP growth target of 5% for 2025 and enhancing the contribution of green and digital industries to the economy [14][15].