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Tokyo Seeks to Take Lead as Green ‘Transition’ Finance Hub

  • Group promoting capital to make proposal to central government
  • Manufacturers face problems financing transition to low carbon
Keiichi Arimoto
Keiichi ArimotoSource: The Organization of Global Financial City Tokyo

Tokyo could become a global leader in green “transition” finance that helps heavy carbon-emitters reduce their footprint, according to an executive at a public-private partnership charged with bolstering the capital’s financial ecosystem.

Transition finance is the concept of investing in companies to help them cut emissions, something the government is pursuing on the way to its target of carbon neutrality by 2050. Building a market in Tokyo to enable such financing of manufacturers across Asia, could also strengthen Japan’s supply chains and economic security, according to the executive director of the Organization of Global Financial City Tokyo.