Domestic Highlights - Xiamen has launched the "ESG Report Verification Cost Compensation Insurance," aiming to enhance ESG disclosure and verification coverage in the region[12] - The Xiamen Free Trade Zone has introduced 632 innovative measures, with 153 being national firsts, to promote ESG standards and practices[12] International Developments - The European Commission proposed amendments to the European Climate Law, targeting a 90% reduction in greenhouse gas emissions by 2040 compared to 1990 levels[3] - The proposal includes mechanisms like carbon credit allowances to alleviate pressures in achieving these reduction targets[3] ESG Financial Products Tracking - As of July 5, 2025, China has issued 3,605 ESG bonds, with a total outstanding amount of 5.52 trillion RMB, where green bonds account for 61.53% of the total[22] - In the past month, 41 ESG bonds were issued, raising 39.8 billion RMB, while the total issuance over the past year reached 1,007 bonds worth 1.1758 trillion RMB[22] Public Fund Insights - The market has 902 existing ESG products, with a total net asset value of 1,055.066 billion RMB, where ESG strategy products represent 52.98% of the total[34] - No new ESG public funds were issued in the past month, but 236 funds were launched in the last year, totaling 170.639 billion units[34] Banking Wealth Management - There are 965 existing ESG products in the banking sector, with pure ESG products making up 55.85% of the total[40] - In the last month, 12 new ESG products were issued, primarily focused on pure ESG and environmental protection[40] Index Performance - As of July 4, 2025, major ESG indices, except for the Wind All A Sustainable ESG, outperformed the market, with the 300 ESG Leading Index showing the highest increase of 1.87%[41] - Over the past year, the Huazheng ESG Leading Index had the largest growth at 17.59%, while the Shenzhen ESG 300 Index increased by 13.3%[41] Expert Opinions - UNEP FI's Butch Bacani emphasized the insurance industry's role in managing climate-related risks and supporting sustainable industrial transitions[8] - The need for a comprehensive asset-liability perspective was highlighted to align insurance and investment efforts towards building resilient and carbon-neutral communities[8] Risk Factors - Potential risks include slower-than-expected ESG development, delays in the dual carbon strategy, and insufficient policy advancements[43]

Core Viewpoint - The European Commission has proposed amendments to the European Climate Law, setting a target to reduce greenhouse gas emissions by 90% compared to 1990 levels by 2040 [1] Group 1: Legislative Changes - The proposed amendments include the introduction of carbon credit mechanisms to alleviate pressure on Europe in achieving its emission reduction targets [1] - The European Climate Law establishes a long-term goal for the EU to achieve climate neutrality by 2050 and sets a mid-term target to reduce emissions by 55% by 2030 compared to 1990 levels [1] Group 2: Member State Reactions - Some EU member states oppose the 2040 target, arguing that it is unrealistic [1]

Core Viewpoint - Africa is facing "carbon plunder," where foreign companies purchase carbon credits at significantly lower prices than in Europe, hindering economic development [1][3]. Group 1: Carbon Credit Market - The cost of obtaining carbon credits in Europe can reach up to €200 per ton, while in Africa, it is as low as $3 per ton, leading to a loss of natural resources [1]. - The average price of carbon credits in Africa was $4.8 per ton last year, down from $6 per ton the previous year, indicating a declining market [1]. Group 2: Economic Valuation and Resources - The African Development Bank President advocates for a revised GDP calculation that includes natural capital, which could allow African nations to borrow at more reasonable rates [3]. - Africa possesses significant resources, including oil, gas, and biodiversity, which are undervalued and not reflected in GDP calculations, amounting to trillions of dollars [3]. Group 3: Financial and Trade Dynamics - Africa must adapt to a world with less aid and more trade friction, emphasizing the need for self-sustained development through trade and investment rather than reliance on foreign goodwill [4]. - The African Development Bank is working on establishing a financing stability mechanism to support African governments facing debt crises [4]. Group 4: Rating Agencies and Financial Reform - The current international rating agencies are criticized for misassessing African risks, and there is a call for the establishment of an African rating agency [4]. - The international financial system is said to exaggerate the risks associated with Africa, necessitating structural reforms to better reflect the continent's realities [4].