The Green Investment Principles for the Belt and Road (GIP) expands its reach into Southeast Asia with a new Chapter launched.

The ASEAN Chapter is a key part of GIP’s vision to form effective local networks to disseminate knowledge and best practices and to help create green investment opportunities in developing economies. This Chapter, the third after Central Asia and Africa, is chaired by Mari Elka Pangestu, former Minister of Trade and MD of The World Bank, and co-chaired by Rino Donosepoetro, Vice Chairman for ASEAN at Standard Chartered Bank.

“Southeast Asia, which historically depended heavily on fossil fuel-based economic models, is now seeing rapid growth in sustainable finance. This Chapter will contribute to the growth of sustainable finance in ASEAN via knowledge sharing and capacity building,” said Ma Jun, co-chair of the GIP Steering Committee and Chairman of China Green Finance Committee.

Sir William Russell, co-chair of the GIP Steering Committee and former Lord Mayor of the City of London Corporation, believes the green finance gap in Southeast Asia is substantial, and added, “This is where GIP comes into play. Today's event is of great significance to closer cooperation at all levels and a call to action for FIs, businesses and governments.”

Mari Pangestu said, “Our Chapter will concentrate on three initiatives: continue to build the ASEAN taxonomy for sustainable finance, identify and develop projects that are not only bankable but transformative, and establish a framework that addresses both financial and social implications of sustainable finance.”

Rino Donosepoetro said “The Chapter helps to refine the ASEAN taxonomy and facilitate the creation and identification of transformative projects and help improve access to financing. More stakeholders in the region shall join GIP and we will start to pursue the three initiatives that we have sought out to do.”

Kao Kim Hourn, Secretary General of ASEAN, speaks highly of the new chapter. He stated, "The GIP ASEAN launch marks a key milestone, bringing together academia, the banking sector, and regulators. I encourage GIP colleagues to focus on educational initiatives and capacity-building programs. These efforts are crucial for creating a de-risking structure that supports sustainable and strategic financial sector transitions."

As keynote speakers, Boby Hernawan from Ministry of Finance, Indonesia shared insights on Indonesia's efforts to expand green finance. Jin Zhongxia from China Central Bank noted the potential of the Chapter to serve as a platform for exchanging ideas and best practices. Fransiska Oei, Head of ESG at Perbanas, underscored GIP's role in addressing challenges such as the lack of understanding of OJK regulations, limited capacity for sustainable finance, and the need for stronger collaboration.

As next steps, the Chapter will create an advisory council, expand GIP membership and facilitate capacity building and green project matching.