Core Insights - Hong Kong has the potential to bridge a significant climate-financing gap in Asia by accessing a global pool of over US$200 trillion for sustainable infrastructure projects [1][3] - There is a notable disparity between the available capital and the actual deployment of funds for climate action in the Asia-Pacific region, with a shortfall of approximately US$800 billion against the required US$1.1 trillion annual investment [3][4] Investment Landscape - The private sector's involvement in financing is crucial, as governments worldwide lack the fiscal capacity to meet the substantial investment needs for climate goals [2] - Institutional investors, particularly from North America and Europe, are currently seeking safer investment opportunities, which presents a challenge for emerging markets [5] Recent Trends - In the first half of the year, there was a six percentage point shift in global climate funding towards the Asia region, marking a significant reallocation of climate-themed capital [4] - Since 2015, over US$300 billion in labeled sustainable bonds have been issued in Southeast Asia and the Greater Bay Area, indicating the rapid development of the region's sustainable finance market [4] Investment Strategies - Blended finance, which combines capital with varying levels of risk, could attract institutional investors by providing them with the comfort needed to invest in higher-risk assets in emerging markets [5]