Dec 092014

By Rey Edward, Friends of the Earth, originally published on the FOE Blog on 25 November 2014.

Chinese banks are the largest lenders to development projects in the world. As Chinese banks increasingly invest in development projects overseas, will they also invest in environmental and social  sustainability? Our new report, “Going out, But Going Green? Assessing the Implementation of China’s Green Credit Guidelines Overseas”, examines the extent of bank compliance with China’s landmark, green finance policy.

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Mar 172014

China’s green credit policy has failed to put a stop to the Chinese-backed Stanari lignite plant, which breaches local and European regulations. By Michelle Chan, BankTrack Chair and Friends of the Earth Economic Policy Director, 10 March 2014

On a damp winter morning, in the small eastern European town of Stanari, locals watch Chinese workers build a 300-megawatt coal power plant. For some residents, the view from the front door consists of soft, rolling hills, sleepy farms and a sprawling open pit coal mine where giant machines excavate lignite, one of the dirtiest types of coal.

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Aug 152013
By Rey Edward, on Aug 15, 2013. Originally published on .

Last week finance watchdogs, Market Forces and BankTracknotified eight Chinese banks that loans issued to Australian coal projects may violate a Chinese banking policy. The policy, known as the Green Credit Directive, is one of the most innovative green finance policies produced by Chinese authorities to date. The policy requires Chinese banks to suspend, or even terminate, lending to projects based on environmental grounds. This marks the first time that NGOs have attempted to invoke the policy and persuade Chinese banks to re-evaluate the quality of loans based solely on environmental risks.

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