Government Pension Investment Fund (GPIF) and Asian Development Bank (ADB) have started a partnership that aims to strengthen capital market cooperation to promote ESG integration into fixed income investment.

Big step forward on #greenfinance in the Asia Pacific. Japan’s GPIF, the biggest pension fund in the world in new partnership with @ADB_HQ to fund new project development using #greenbonds. ADB already a major green issuer.
Announcement: https://t.co/nf8ulSBvgG pic.twitter.com/MUKpSULPt5

— Climate Bonds (@ClimateBonds) August 7, 2019

Asian Development Bank (ADB) issues green bonds that align with the International Capital Market Association (ICMA), which helps its developing member countries mitigate greenhouse gas emissions and adapt to the consequences of climate change. Investment opportunities into these bonds will be provided to GPIF’s asset managers.

＜Comment by Hiro Mizuno, Executive MD and CIO of GPIF＞
GPIF requires all asset managers to integrate ESG into their investment analysis and decision-making. We regard purchase of Green, Social and Sustainability Bonds as one of the direct methods of ESG integration in the fixed income investment. GPIF is committed to promote ESG integration through our investment chain in order to ensure the sustainable performance of the pension reserve fund for all the generations.

＜Comment by Takehiko Nakao, President of ADB＞
We are pleased to collaborate with GPIF on this important initiative that promotes environment-related investments in Asia and the Pacific and is closely aligned with ADB’s development mandate.

＜Comment by Ingrid van Wees, Vice-President for Finance and Risk Management of ADB＞
Driven by continuous economic growth, accelerating urbanization, and expanding middle classes, Asia accounts for the majority of rising energy needs worldwide. It is, therefore, essential that the region plays a pro-active part in global efforts to reduce emissions from houses and offices, industry, and transport.

Source: GPIF