The Shanghai Stock Exchange and the Huzhou Municipal People's Government inaugurates China's first green finance service center on Oct 25. [Photo/WeChat account: huzhoufabu]

The Shanghai Stock Exchange and the Huzhou Municipal People's Government launched China's first green finance service center on Oct 25.

Located in Huzhou, East China's Zhejiang province, the Shanghai Stock Exchange Green Finance (Yangtze River Delta) Service Center will provide training and support to investment institutions and listed companies across China in the field of green finance.

During the opening ceremony, the Shanghai bourse and Huzhou also unveiled a jointly developed green finance index. This index aims to help listed companies in the region adopt environmental, social, and governance (ESG) principles for investments. The goal is to create an environment conducive to the growth of green finance businesses and encourage investment institutions to actively participate in the sector.

Huzhou has been leading in green finance reforms and innovation in China since being designated as a pilot zone for national green finance reform. Over the past six years, the city has used green finance to drive economic development, leading to impressive results. The balance of green loans in Huzhou has grown from 36.95 billion yuan ($5.05 billion) to 313.68 billion yuan, with an average annual growth rate of 45.8 percent.

In line with their commitment to green finance, Huzhou has also implemented an upgraded version of the "Phoenix Action". This initiative further facilitates the integration of high-quality enterprises with the capital markets. As a result, the city currently boasts a portfolio of 56 listed companies, showcasing the success and effectiveness of its green finance initiatives.