ESG reporting requirements and laws

As Hong Kong solidifies its position as an international financial hub, its focus on environmental, social, and governance (ESG) affairs is growing. While Hong Kong lacks ESG laws, listed companies, fund managers, and ESG funds must adhere to mandatory reporting requirements with a "comply and explain" component.

To advance green and sustainable finance, Hong Kong has established the Green and Sustainable Finance Cross-Agency Steering Group, jointly led by the Hong Kong Monetary Authority (HKMA), Hong Kong Exchanges and Clearing Limited (HKEX), and the Securities and Futures Commission (SFC). This group aims to develop common green and sustainable finance standards and support related education, professional development, and best practices. Its goal is to assist Hong Kong's financial ecosystem in achieving carbon neutrality, including reducing emissions by 50% by 2035 and achieving net-zero emissions by 2050.