Former CEO of Unilever Paul Polman foresees strong prospects for Hong Kong in green finance and technology, pushing for more instruments that reward the green transformation.

The internationally recognized Dutch business leader made the remarks on Monday in a media interview on the sidelines of the Asian Financial Forum — one of Hong Kong’s premier financial events.

Sharing his take on the city’s vision to become a leading green finance center and a hub for green technology, Polman told reporters that “the green market is taking off”, highlighting the right timing for the city to advance its green ambition.

Polman cited figures showing the global green economy has surpassed $5 trillion and is projected to exceed $7 trillion annually by 2030, noting that the sector, especially in China, is already driving significant growth and creating numerous jobs.

He reaffirmed the importance of government focus and policy support, explaining that “financing follows when technologies are there, and when they are economic, it is easier to attract financing. When policies are consistent and there's a clear signal of the direction you go, then it becomes easier to have financing to flow because you take risks away.”

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Beyond policy support, Polman said he believes Hong Kong’s advantages in this field are clear.

As an international financial center with clear regulations and its currency pegged to the US dollar, Hong Kong has “created an ecosystem here and a critical mass that is becoming pretty attractive,” he added.

Polman also emphasized Hong Kong’s strategic location, describing the city as “well placed where east meets west” and “a springboard between the Chinese mainland and the West.”

He believes that as China continues its transition toward a green economy and many more technologies are coming in, the Hong Kong Special Administrative Region’s green ambitions will gain even greater opportunities.

At the same time, Polman urged Hong Kong to create more instruments that reward the green transformation, noting that the market doesn't fully yet calculate the right risks and people undervalue future cash flows around the green transition.

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He called for stakeholders to create a broader range of local financial instruments to accelerate this transition, from green bonds to blended finance and more different creative ways, stressing that “many of the things we now need to do to accelerate that transition”.

“It's too big for any company to do alone, so Hong Kong can play a role to stimulate this joint action in these transitions,” he added.

The two-day AFF kicked off on Monday, hosted by the HKSAR government and the Hong Kong Trade Development Council. This year, it brings together officials and business leaders from more than 60 countries and regions.

Polman — a former chair of the World Business Council for Sustainable Development — will join a keynote lunch on Tuesday and speak about how cross-sector, including policymakers, business leaders, and academia, can collectively drive positive environmental and social impact.

Contact the writer at amberwu@chinadailyhk.com